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Full-Text Articles in Labor Economics

Minimum Wage Increases Reduce Racial Disparities During Hiring, Alec Brandon, Justin E. Holz, Andrew Simon, Haruka Uchida Feb 2024

Minimum Wage Increases Reduce Racial Disparities During Hiring, Alec Brandon, Justin E. Holz, Andrew Simon, Haruka Uchida

Employment Research Newsletter

No abstract provided.


Labor Market Effects Of Paid Sick Leave: The Case Of Seattle, Hilary Wething, Meredith Slopen Feb 2024

Labor Market Effects Of Paid Sick Leave: The Case Of Seattle, Hilary Wething, Meredith Slopen

Upjohn Institute Working Papers

We investigate the impact of Seattle’s Paid Sick and Safety Time (PSST) policy on workers’ quarterly hours worked and separation hazard. Using Unemployment Insurance records from before and after the implementation of PSST, we examine individual-level employment behavior at the extensive and intensive margins and compare Seattle workers to workers in Washington state using a difference-in-differences strategy. Importantly, we consider how impacts vary by employment characteristics, including worker wage rate and tenure, and by firm characteristics, including industry and firm size. We find that PSST increased workers’ quarterly hours by 4.42 hours per quarter, or around 18 hours per year. …


Seattle’S Paid Sick Leave Law Increased Work Hours Without Affecting Job Attachment, Hilary Wething, Meredith Slopen Feb 2024

Seattle’S Paid Sick Leave Law Increased Work Hours Without Affecting Job Attachment, Hilary Wething, Meredith Slopen

Upjohn Institute Policy and Research Briefs

No abstract provided.


Grads On The Go: Measuring College-Specific Labor Markets For Graduates, Johnathan G. Conzelmann, Steven W. Hemelt, Brad J. Hershbein, Shawn Martin, Andrew Simon, Kevin M. Stange Jan 2024

Grads On The Go: Measuring College-Specific Labor Markets For Graduates, Johnathan G. Conzelmann, Steven W. Hemelt, Brad J. Hershbein, Shawn Martin, Andrew Simon, Kevin M. Stange

Upjohn Institute Working Papers

This paper introduces a new measure of the labor markets served by colleges and universities across the United States. About 50 percent of recent college graduates are living and working in the metro area nearest the institution they attended, with this figure climbing to 67 percent in-state. The geographic dispersion of alumni is more than twice as great for highly selective 4-year institutions as for 2-year institutions. However, more than one-quarter of 2-year institutions disperse alumni more diversely than the average public 4-year institution. In one application of these data, we find that the average strength of the labor market …


New Data Show How Far Graduates Move From Their College, And Why It Matters, Johnathan G. Conzelmann, Steven W. Hemelt, Brad J. Hershbein, Shawn Martin, Andrew Simon, Kevin M. Stange Jan 2024

New Data Show How Far Graduates Move From Their College, And Why It Matters, Johnathan G. Conzelmann, Steven W. Hemelt, Brad J. Hershbein, Shawn Martin, Andrew Simon, Kevin M. Stange

Upjohn Institute Policy and Research Briefs

No abstract provided.


Employment, Income, And Poverty In Kalamazoo City Core Neighborhoods, Val Klomparens Dec 2023

Employment, Income, And Poverty In Kalamazoo City Core Neighborhoods, Val Klomparens

Reports

This report employs a traditional methodology using American Community Survey data to examine employment, income, and poverty in three neighborhoods in Kalamazoo, Michigan: Eastside, Northside, and Edison. These neighborhoods are studied with an emphasis on eligibility status for the Distressed Area Recompete Pilot Program, administered through the U.S. Economic Development Administration. Eastside residents are unique in that a larger share earn income through wages or employment than do Michigan residents, yet their median income falls below those at the county and state levels in a statistically significant way. The Edison neighborhood is characterized by greater income inequality than the other …


Minimum Wage Increases Reduce Racial Disparities During Hiring, Alec Brandon, Justin E. Holz, Andrew Simon, Haruka Uchida Nov 2023

Minimum Wage Increases Reduce Racial Disparities During Hiring, Alec Brandon, Justin E. Holz, Andrew Simon, Haruka Uchida

Upjohn Institute Policy and Research Briefs

No abstract provided.


Minimum Wages And Racial Discrimination In Hiring: Evidence From A Field Experiment, Alec Brandon, Justin E. Holz, Andrew Simon, Haruka Uchida Nov 2023

Minimum Wages And Racial Discrimination In Hiring: Evidence From A Field Experiment, Alec Brandon, Justin E. Holz, Andrew Simon, Haruka Uchida

Upjohn Institute Working Papers

When minimum wages increase, employers may respond to the regulatory burdens by substituting away from disadvantaged workers. We test this hypothesis using a correspondence study with 35,000 applications around ex-ante uncertain minimum wage increases in three U.S. states. Before the increases, applicants with distinctively Black names were 19 percent less likely to receive a callback than equivalent applicants with distinctively white names. Announcements of minimum wage hikes substantially reduce callbacks for all applicants but shrink the racial callback gap by 80 percent. Racial inequality decreases because firms disproportionately reduce callbacks to lower-quality white applicants who benefited from discrimination under lower …


Taxing The Gender Gap: Labor Market Effects Of A Payroll Tax Cut For Women In Italy, Enrico Rubolino Jul 2023

Taxing The Gender Gap: Labor Market Effects Of A Payroll Tax Cut For Women In Italy, Enrico Rubolino

Upjohn Institute Working Papers

This paper studies the labor market effects of a large payroll tax cut for female hires in Italy. Starting in January 2013, the payroll tax rate paid by the employer for female hires was reduced by 50 percent for a period of 12 months for temporary jobs and 18 months for permanent jobs. Eligibility for the tax cut depends on the time elapsed in nonemployment status and varies discontinuously by the worker’s municipality of residence, age, and occupation. Combining social security data on the universe of Italian private-sector workers with several empirical approaches, I find that the tax cut increases …


Can A Payroll Tax Cut For Women Narrow The Gender Gap?, Enrico Rubolino Jul 2023

Can A Payroll Tax Cut For Women Narrow The Gender Gap?, Enrico Rubolino

Upjohn Institute Policy and Research Briefs

No abstract provided.


What Happens To Residents Evicted Under California’S Ellis Act?, Brian J. Asquith Apr 2023

What Happens To Residents Evicted Under California’S Ellis Act?, Brian J. Asquith

Employment Research Newsletter

No abstract provided.


Southwest Michigan Wage And Benefits Survey: Van Buren, Kalamazoo, Calhoun, Berrien, Cass, St. Joseph, And Branch Counties, Dakota Mccracken, Val Gipper, Michael Horrigan Apr 2023

Southwest Michigan Wage And Benefits Survey: Van Buren, Kalamazoo, Calhoun, Berrien, Cass, St. Joseph, And Branch Counties, Dakota Mccracken, Val Gipper, Michael Horrigan

Reports

No abstract provided.


College Majors And Skills: Evidence From The Universe Of Online Job Ads, Steven W. Hemelt, Brad J. Hershbein, Shawn Martin, Kevin M. Stange Apr 2023

College Majors And Skills: Evidence From The Universe Of Online Job Ads, Steven W. Hemelt, Brad J. Hershbein, Shawn Martin, Kevin M. Stange

Upjohn Institute Working Papers

We use the near universe of U.S. online job ads to document four new facts about the skills employers demand from college majors. First, some skills––social and organizational––are demanded from all majors whereas others––financial and customer service––are demanded from only particular majors. Second, some majors have skill demand profiles that mirror overall demand for college graduates, such as Business and General Engineering, while other majors, such as Nursing and Education, have relatively rare skill profiles. Third, cross-major differences in skill profiles explain considerable wage variation. Fourth, although major-specific skill demand varies across place, this variation plays little role in explaining …


Not Just For Kids: Child And Dependent Care Credit Benefits For Adult Care, Gabrielle Pepin, Yulya Truskinovsky Mar 2023

Not Just For Kids: Child And Dependent Care Credit Benefits For Adult Care, Gabrielle Pepin, Yulya Truskinovsky

Upjohn Institute Working Papers

As the U.S. population ages, family caregivers face substantial out-of-pocket costs and financial risks while providing the majority of long-term care. The Child and Dependent Care Credit (CDCC), a tax credit based on income and care spending, subsidizes caregiving expenses but has low participation among adult caregivers. This paper evaluates the CDCC’s current structure, documenting its limited impact on reducing caregiving costs and examining reforms to increase its utility for adult caregivers. Simulations of proposed changes—higher benefits, refundability, and relaxed eligibility requirements—demonstrate potential to expand access and enhance support for family caregivers within the existing policy framework.


The Child And Dependent Care Credit: Unlike Trix, Not Just For Kids, Gabrielle Pepin, Yulya Truskinovsky Mar 2023

The Child And Dependent Care Credit: Unlike Trix, Not Just For Kids, Gabrielle Pepin, Yulya Truskinovsky

Upjohn Institute Policy and Research Briefs

No abstract provided.


Salary History And Employer Demand: Evidence From A Two-Sided Audit, Amanda Agan, Bo Cowgill, Laura K. Gee Dec 2022

Salary History And Employer Demand: Evidence From A Two-Sided Audit, Amanda Agan, Bo Cowgill, Laura K. Gee

Upjohn Institute Working Papers

We study how salary disclosures affect employer demand using a field experiment featuring hundreds of recruiters evaluating over 2,000 job applications. We randomize the presence of salary questions and the candidates’ disclosures for male and female applicants. Our findings suggest that extra dollars disclosed yield higher salary offers, willingness to pay, and perceptions of outside options by recruiters (all similarly for men and women). Recruiters make negative inferences about the quality and bargaining positions of non-disclosing candidates, though they penalize silent women less.


Long-Term Care In The United States: History, Financing, And Directions For Reform, George A. (Sandy) Mackenzie Nov 2022

Long-Term Care In The United States: History, Financing, And Directions For Reform, George A. (Sandy) Mackenzie

Upjohn Press

This book is a concise survey of the development of U.S. long-term care and its financing, with comparisons with other rich countries. It also includes a brief comparative account of the impact of the COVID-19 pandemic in the United States and several other countries. The study finds much that is amiss with American long-term care and proposes three sets of progressively more ambitious reforms.


What Happens To Residents Evicted Under California’S Ellis Act?, Brian J. Asquith Nov 2022

What Happens To Residents Evicted Under California’S Ellis Act?, Brian J. Asquith

Upjohn Institute Policy and Research Briefs

No abstract provided.


The Effects Of An Ellis Act Eviction On Neighborhood Socioeconomic Status, Brian J. Asquith Nov 2022

The Effects Of An Ellis Act Eviction On Neighborhood Socioeconomic Status, Brian J. Asquith

Upjohn Institute Working Papers

Rent-control advocates argue that its strongest feature is offering tenants strong protections from economic displacement. Nonetheless, rent control may have negative effects on tenants, as previous research has shown that these tenants have longer commutes and higher unemployment rates because they are incentivized to stay in place even after their location is no longer optimal. I study what happens to tenants when they are displaced from their rent-controlled apartments by exploiting a California law called the Ellis Act that allows landlords in Los Angeles and San Francisco to evict tenants even if they are lease-compliant, under the condition that all …


‘Long Social Distancing’ Reduces Potential Output Of U.S. Economy, Jose Maria Barrero Nov 2022

‘Long Social Distancing’ Reduces Potential Output Of U.S. Economy, Jose Maria Barrero

Upjohn Institute Policy and Research Briefs

No abstract provided.


Long Social Distancing, Jose Maria Barrero, Nicholas Bloom, Steven J. Davis Nov 2022

Long Social Distancing, Jose Maria Barrero, Nicholas Bloom, Steven J. Davis

Upjohn Institute Working Papers

Many working-age Americans say they will continue some forms of social distancing after the COVID-19 pandemic ends. We uncover this long social distancing phenomenon in our monthly Survey of Working Arrangements and Attitudes. It is stronger among older persons, the less educated, and those who live with or care for persons at high risk from infectious diseases. Regression models fit to individual-level data suggest that social distancing lowered labor force participation by 2.4 percentage points in 2022, 1.2 points on an earnings-weighted basis. Daily interactions with at-risk persons and long COVID experiences lead to larger drags on participation. When combined …


Mismatch In Local Labor Markets: How Demand Shocks To Different Occupations Affect Less- Or More-Educated Workers In Diverse Local Labor Markets, Timothy J. Bartik Aug 2022

Mismatch In Local Labor Markets: How Demand Shocks To Different Occupations Affect Less- Or More-Educated Workers In Diverse Local Labor Markets, Timothy J. Bartik

Upjohn Institute Technical Reports

This paper estimates the effects on local labor market outcomes (employment rates, real wages, real earnings) of local labor demand shocks to different types of occupations. Occupations are divided into three groups, “high, middle, and low,” with occupations differing in wages paid and education credentials required. Effects are considered on both workers with less than a four-year college degree and workers with a bachelor’s degree or higher. The strongest benefits for labor market outcomes come from demand shocks to “mid jobs.” Mid-job demand shocks particularly benefit less-educated workers. High-job demand shocks often hurt labor market outcomes for less-educated workers, in …


What Types Of Local Job Creation Most Benefit Residents?, Timothy J. Bartik Aug 2022

What Types Of Local Job Creation Most Benefit Residents?, Timothy J. Bartik

Upjohn Institute Policy and Research Briefs

No abstract provided.


Common Ownership In Labor Markets, José Azar, Yue Qiu, Aaron Sojourner Jul 2022

Common Ownership In Labor Markets, José Azar, Yue Qiu, Aaron Sojourner

Upjohn Institute Working Papers

In this paper, we study common ownership in U.S. labor markets, and document that common ownership more than doubled over the period 1999–2017. To identify the causal effects of common ownership on labor market outcomes, we use a firm’s addition to the S&P 500 index as a shock to the common ownership of its competitors in local labor markets. Using a matched difference-in-differences analysis, we find that, after a firm enters the S&P 500 index, the average annual earnings per employee of its local competitors decrease relative to the counterfactual. The effect of S&P 500 index additions on employee earnings …


Monopsony In Manufacturing, Chen Yeh, Claudia Macaluso, Brad J. Hershbein May 2022

Monopsony In Manufacturing, Chen Yeh, Claudia Macaluso, Brad J. Hershbein

Employment Research Newsletter

No abstract provided.


Monopsony In The U.S. Labor Market, Chen Yeh, Claudia Macaluso, Brad J. Hershbein Mar 2022

Monopsony In The U.S. Labor Market, Chen Yeh, Claudia Macaluso, Brad J. Hershbein

Upjohn Institute Working Papers

This paper quantifies the extent to which the U.S. manufacturing labor market is characterized by employer market power and how such market power has changed over time. We find that the vast majority of U.S. manufacturing plants operate in a monopsonistic environment and, at least since the early 2000s, the labor market in U.S. manufacturing has become more monopsonistic. To reach this conclusion, we exploit rich administrative data for U.S. manufacturers and estimate plant-level markdowns—the ratio between a plant’s marginal revenue product of labor and its wage. In a competitive labor market, markdowns would be equal to unity. Instead, we …


Monopsony In Manufacturing, Chen Yeh, Claudia Macaluso, Brad J. Hershbein Mar 2022

Monopsony In Manufacturing, Chen Yeh, Claudia Macaluso, Brad J. Hershbein

Upjohn Institute Policy and Research Briefs

No abstract provided.


Wage Posting Or Wage Bargaining?: A Test Using Dual Jobholders, Marta Lachowska, Alexandre Mas, Raffaele Saggio, Stephen A. Woodbury Jan 2022

Wage Posting Or Wage Bargaining?: A Test Using Dual Jobholders, Marta Lachowska, Alexandre Mas, Raffaele Saggio, Stephen A. Woodbury

Employment Research Newsletter

No abstract provided.


How Reliable Are Administrative Reports Of Paid Work Hours?, Marta Lachowska, Alexandre Mas, Stephen A. Woodbury Jan 2022

How Reliable Are Administrative Reports Of Paid Work Hours?, Marta Lachowska, Alexandre Mas, Stephen A. Woodbury

Upjohn Institute Working Papers

This paper examines the quality of quarterly records on work hours collected from employers in the State of Washington to administer the unemployment insurance (UI) system, specifically to determine eligibility for UI. We subject the administrative records to four “trials,” all of which suggest the records reliably measure paid hours of work. First, distributions of hours in the administrative records and Current Population Survey outgoing rotation groups (CPS) both suggest that 52–54% of workers work approximately 40 hours per week. Second, in the administrative records, quarter-to-quarter changes in the log of earnings are highly correlated with quarter-to-quarter changes in the …


Wage Posting Or Wage Bargaining?: A Test Using Dual Jobholders, Marta Lachowska, Alexandre Mas, Raffaele Saggio, Stephen A. Woodbury Jan 2022

Wage Posting Or Wage Bargaining?: A Test Using Dual Jobholders, Marta Lachowska, Alexandre Mas, Raffaele Saggio, Stephen A. Woodbury

Upjohn Institute Policy and Research Briefs

No abstract provided.