#laborecon — Public Fediverse posts

The Math-Verbal Divide: Unequal Returns to Cognitive Skills in Education and Work https://d.repec.org/n?u=RePEc:iza:izadps:dp18542&r=&r=lab
"Verbal skills strongly predict educational attainmen while #mathematics skills generate substantially larger earnings returns.
… This divergence operates partly through field-of-study choice: individuals with stronger verbal skills disproportionately select into fields with higher graduation rates but lower earnings returns, while those with stronger mathematics skills enter #STEM and other high-paying majors.
… Gender differences in skills explain the female advantage in college attendance and part of the STEM gap but have little effect on the gender earnings gap due to offsetting effects across these pathways: women's verbal advantage facilitates educational access but also steers them toward lower-return fields."
#LaborEcon #wages #gpg

The Math-Verbal Divide: Unequal Returns to Cognitive Skills in Education and Work https://d.repec.org/n?u=RePEc:iza:izadps:dp18542&r=&r=lab
"Verbal skills strongly predict educational attainmen while #mathematics skills generate substantially larger earnings returns.
… This divergence operates partly through field-of-study choice: individuals with stronger verbal skills disproportionately select into fields with higher graduation rates but lower earnings returns, while those with stronger mathematics skills enter #STEM and other high-paying majors.
… Gender differences in skills explain the female advantage in college attendance and part of the STEM gap but have little effect on the gender earnings gap due to offsetting effects across these pathways: women's verbal advantage facilitates educational access but also steers them toward lower-return fields."
#LaborEcon #wages #gpg

Easy A’s, Less Pay: The Long-Term Effects of Grade Inflation https://www.nber.org/papers/w34952
"Being assigned a higher average grade inflating teacher reduces a student's future test scores, the likelihood of graduating from high school, college enrollment, and ultimately earnings. In contrast, passing grade inflation reduces the likelihood of being held back and increases high school graduation, with limited long-run effects. The cumulative impact is economically significant: a teacher with one standard deviation higher average #gradeInflation reduces the present discounted value of lifetime earnings of their students by $213,872 per year"
#LaborEcon #wages #Incentives

Easy A’s, Less Pay: The Long-Term Effects of Grade Inflation https://www.nber.org/papers/w34952
"Being assigned a higher average grade inflating teacher reduces a student's future test scores, the likelihood of graduating from high school, college enrollment, and ultimately earnings. In contrast, passing grade inflation reduces the likelihood of being held back and increases high school graduation, with limited long-run effects. The cumulative impact is economically significant: a teacher with one standard deviation higher average #gradeInflation reduces the present discounted value of lifetime earnings of their students by $213,872 per year"
#LaborEcon #wages #Incentives

AI Doesn’t Reduce Work—It Intensifies It https://hbr.org/2026/02/ai-doesnt-reduce-work-it-intensifies-it
“AI introduced a new rhythm in which workers managed several active threads at once: manually writing code while AI generated an alternative version, running multiple agents in parallel, or reviving long-deferred tasks because AI could “handle them” in the background. They did this, in part, because they felt they had a “partner” that could help them move through their workload.

While this sense of having a “partner” enabled a feeling of momentum, the reality was a continual switching of attention, frequent checking of #AI outputs, and a growing number of open tasks. This created #cognitiveload and a sense of always juggling
… What looks like higher #productivity in the short run can mask silent workload creep and growing cognitive strain as employees juggle multiple AI-enabled workflows
… overwork can impair judgment, increase the likelihood of errors, and make it harder for organizations to distinguish genuine productivity gains from unsustainable intensity
… the cumulative effect is fatigue, #burnout, and a growing sense that work is harder to step away from, especially as organizational expectations for speed and responsiveness rise."
#LaborEcon

AI Doesn’t Reduce Work—It Intensifies It https://hbr.org/2026/02/ai-doesnt-reduce-work-it-intensifies-it
“AI introduced a new rhythm in which workers managed several active threads at once: manually writing code while AI generated an alternative version, running multiple agents in parallel, or reviving long-deferred tasks because AI could “handle them” in the background. They did this, in part, because they felt they had a “partner” that could help them move through their workload.

While this sense of having a “partner” enabled a feeling of momentum, the reality was a continual switching of attention, frequent checking of #AI outputs, and a growing number of open tasks. This created #cognitiveload and a sense of always juggling
… What looks like higher #productivity in the short run can mask silent workload creep and growing cognitive strain as employees juggle multiple AI-enabled workflows
… overwork can impair judgment, increase the likelihood of errors, and make it harder for organizations to distinguish genuine productivity gains from unsustainable intensity
… the cumulative effect is fatigue, #burnout, and a growing sense that work is harder to step away from, especially as organizational expectations for speed and responsiveness rise."
#LaborEcon

Old Workers, New Capital https://d.repec.org/n?u=RePEc:rsi:irersi:20&r=&r=age
"… when industries experience workforce #aging, firms with older initial workforces respond by #hiring younger workers and exhibit lower investment, while firms with younger initial workforces hire relatively older workers and exhibit higher investment.
… hiring older workers significantly increases total factor productivity, full-time equivalent productivity, and sales, demonstrating that experienced workers enhance production efficiency and thereby justify higher capital investment.
… firms that hire more experienced workers optimally respond by increasing their capital stock per worker
… strategic hiring of older workers drives capital deepening through #productivity complementarity"
#LaborEcon #wages

Old Workers, New Capital https://d.repec.org/n?u=RePEc:rsi:irersi:20&r=&r=age
"… when industries experience workforce #aging, firms with older initial workforces respond by #hiring younger workers and exhibit lower investment, while firms with younger initial workforces hire relatively older workers and exhibit higher investment.
… hiring older workers significantly increases total factor productivity, full-time equivalent productivity, and sales, demonstrating that experienced workers enhance production efficiency and thereby justify higher capital investment.
… firms that hire more experienced workers optimally respond by increasing their capital stock per worker
… strategic hiring of older workers drives capital deepening through #productivity complementarity"
#LaborEcon #wages

David Autor on "How Is #AI Shaping the Future of #Work?" https://issues.org/david-autor-economist-ai-future-work/
#LaborEcon #economics

David Autor on "How Is #AI Shaping the Future of #Work?" https://issues.org/david-autor-economist-ai-future-work/
#LaborEcon #economics

How Selective Universities Can Increase Socioeconomic Diversity: Admit by SAT Scores https://conversableeconomist.com/2026/01/02/how-selective-universities-can-increase-socioeconomic-diversity-admit-by-sat-scores/
"… counterfactual admissions scenario in which colleges eliminate the three factors that drive the admissions advantage for students from high-income families—legacy preferences, the weight placed on nonacademic ratings, and the differential recruitment of athletes from high-income families—and refill slots with students who have the same distribution of test scores as the current class. Such an admissions policy would increase the share of students attending Ivy-Plus colleges from the bottom 95% of the parental income distribution by 8.8 percentage points"
#LaborEcon #discrimination

How Selective Universities Can Increase Socioeconomic Diversity: Admit by SAT Scores https://conversableeconomist.com/2026/01/02/how-selective-universities-can-increase-socioeconomic-diversity-admit-by-sat-scores/
"… counterfactual admissions scenario in which colleges eliminate the three factors that drive the admissions advantage for students from high-income families—legacy preferences, the weight placed on nonacademic ratings, and the differential recruitment of athletes from high-income families—and refill slots with students who have the same distribution of test scores as the current class. Such an admissions policy would increase the share of students attending Ivy-Plus colleges from the bottom 95% of the parental income distribution by 8.8 percentage points"
#LaborEcon #discrimination

Remote professionals are quiet quitting Fridays …could open the door to a 4-day work week
https://fortune.com/2025/11/17/remote-hybrid-four-day-work-week-time-use-survey/
"From 2019 to 2024, the average number of minutes worked on Fridays fell by about 90 minutes in jobs that can be done from home.
… informal easing into the weekend, once confined to office norms, can be a morale booster
…In occupations that require continuous hand-offs, staggered schedules can actually improve efficiency by spreading coverage across more hours in the day.
…The benefits, in terms of work-life balance, #autonomy, #recruitment and reducing turnover, can be very real."
#wfh #4dayWeek #laborEcon

Remote professionals are quiet quitting Fridays …could open the door to a 4-day work week
https://fortune.com/2025/11/17/remote-hybrid-four-day-work-week-time-use-survey/
"From 2019 to 2024, the average number of minutes worked on Fridays fell by about 90 minutes in jobs that can be done from home.
… informal easing into the weekend, once confined to office norms, can be a morale booster
…In occupations that require continuous hand-offs, staggered schedules can actually improve efficiency by spreading coverage across more hours in the day.
…The benefits, in terms of work-life balance, #autonomy, #recruitment and reducing turnover, can be very real."
#wfh #4dayWeek #laborEcon

The Labor Market Consequences of Acquisitions https://d.repec.org/n?u=RePEc:ces:ceswps:_12162&r=&r=ind
"… the consequences of corporate acquisitions for workers and find that they are far from neutral: earnings decline through both job displacement and wage cuts among stayers from target firms. These wage cuts do not reflect increased monopsony power. Instead, they are concentrated in acquisitions where the acquirer’s CEO sat on the target’s board prior to the transaction, suggesting insider knowledge of pay policies.
… such CEOs disproportionately acquire high-paying firms and subsequently reduce wages. The result is rent redistribution from workers to shareholders and managers, as seen in higher profits and CEO pay. These findings imply that the labor-market risks of acquisitions arise not only from greater market concentration, as documented in previous work, but also from managerial incentives that conventional antitrust policies are ill-equipped to address."
#LaborEcon #wages #IndustrialOrganization

The Labor Market Consequences of Acquisitions https://d.repec.org/n?u=RePEc:ces:ceswps:_12162&r=&r=ind
"… the consequences of corporate acquisitions for workers and find that they are far from neutral: earnings decline through both job displacement and wage cuts among stayers from target firms. These wage cuts do not reflect increased monopsony power. Instead, they are concentrated in acquisitions where the acquirer’s CEO sat on the target’s board prior to the transaction, suggesting insider knowledge of pay policies.
… such CEOs disproportionately acquire high-paying firms and subsequently reduce wages. The result is rent redistribution from workers to shareholders and managers, as seen in higher profits and CEO pay. These findings imply that the labor-market risks of acquisitions arise not only from greater market concentration, as documented in previous work, but also from managerial incentives that conventional antitrust policies are ill-equipped to address."
#LaborEcon #wages #IndustrialOrganization

Output Fluctuations and Firm #Recruitment Effort https://d.repec.org/n?u=RePEc:iza:izadps:dp18068&r=&r=eur
"… correlations between output growth and job advertisement posting are weak, which might seem at odds with theoretical predictions. Further analysis, however, reveals that the relationship between output growth and the advertisement rate masks important di!erences that relate to the persistence of output growth shocks. Decomposing output growth into permanent and transitory components… we find that only permanent shocks exhibit quantitatively significant correlations with the advertisement rate. Specifically, a one standard deviation positive permanent shock is associated with an increase in the advertisement rate equal to 10–16% of the standard deviation of postings, depending on whether output is measured as revenue or value-added. In contrast, transitory shocks are essentially unrelated to the advertisement rate.

This selective adjustment behavior aligns with theoretical models emphasizing costly #vacancy creation and #searchFrictions, and highlights the importance of shock decomposition for understanding firm #hiring dynamics."
#LaborEcon #oja

Output Fluctuations and Firm #Recruitment Effort https://d.repec.org/n?u=RePEc:iza:izadps:dp18068&r=&r=eur
"… correlations between output growth and job advertisement posting are weak, which might seem at odds with theoretical predictions. Further analysis, however, reveals that the relationship between output growth and the advertisement rate masks important di!erences that relate to the persistence of output growth shocks. Decomposing output growth into permanent and transitory components… we find that only permanent shocks exhibit quantitatively significant correlations with the advertisement rate. Specifically, a one standard deviation positive permanent shock is associated with an increase in the advertisement rate equal to 10–16% of the standard deviation of postings, depending on whether output is measured as revenue or value-added. In contrast, transitory shocks are essentially unrelated to the advertisement rate.

This selective adjustment behavior aligns with theoretical models emphasizing costly #vacancy creation and #searchFrictions, and highlights the importance of shock decomposition for understanding firm #hiring dynamics."
#LaborEcon #oja

Closing the gap between vocational and general #education? Evidence from University Technical Colleges in England http://eprints.lse.ac.uk/128193/7/jhr.0223-12768R1.full.pdf
"For students who enter at the non-conventional transition age 14, UTCs have a large detrimental effect on the probability of reaching an acceptable level of English and maths two years later in GCSEs national exams
… For students who enter at the more conventional transition age 16, the results reveal a more positive story. Although UTCs lead to some deterioration in academic achievement at upper secondary level (A-levels), this is far out-weighed by an improvement in vocational qualifications at the same level. UTCs do not influence the probability of going on to university, but they strongly influence the probability of undertaking a #STEM degree, an outcome which has been shown to be associated both with higher earnings and with improved productivity and economic growth …corresponding increase in the probability of being in sustained #employment, which increases by 9 percentage points. There is also a high earnings’ return that this stage, for those in employment.
… Findings highlight the risks of early #specialisation and benefits of aligning #education with students' interests at a suitable stage."
#LaborEcon #vocationalTraining #wages

Closing the gap between vocational and general #education? Evidence from University Technical Colleges in England http://eprints.lse.ac.uk/128193/7/jhr.0223-12768R1.full.pdf
"For students who enter at the non-conventional transition age 14, UTCs have a large detrimental effect on the probability of reaching an acceptable level of English and maths two years later in GCSEs national exams
… For students who enter at the more conventional transition age 16, the results reveal a more positive story. Although UTCs lead to some deterioration in academic achievement at upper secondary level (A-levels), this is far out-weighed by an improvement in vocational qualifications at the same level. UTCs do not influence the probability of going on to university, but they strongly influence the probability of undertaking a #STEM degree, an outcome which has been shown to be associated both with higher earnings and with improved productivity and economic growth …corresponding increase in the probability of being in sustained #employment, which increases by 9 percentage points. There is also a high earnings’ return that this stage, for those in employment.
… Findings highlight the risks of early #specialisation and benefits of aligning #education with students' interests at a suitable stage."
#LaborEcon #vocationalTraining #wages

The Unequal Diffusion of Honesty and Dishonesty in Workplace Networks https://d.repec.org/n?u=RePEc:hal:journl:hal-05214954&r=&r=soc
"… dishonest behavior diffuses while honest behavior does not.
The diffusion of dishonest behavior is best explained by information transmission
… screening for #honesty can be effective in high-turnover environments with sparse networks. While high turnover has been shown to negatively affect firms, this finding contributes to a growing body of evidence suggesting that it may also have positive effects, preventing the #moralDecay that may occur with longer tenure."
#LaborEcon #BehavioralEconomics #SocialTies #ethics

The Unequal Diffusion of Honesty and Dishonesty in Workplace Networks https://d.repec.org/n?u=RePEc:hal:journl:hal-05214954&r=&r=soc
"… dishonest behavior diffuses while honest behavior does not.
The diffusion of dishonest behavior is best explained by information transmission
… screening for #honesty can be effective in high-turnover environments with sparse networks. While high turnover has been shown to negatively affect firms, this finding contributes to a growing body of evidence suggesting that it may also have positive effects, preventing the #moralDecay that may occur with longer tenure."
#LaborEcon #BehavioralEconomics #SocialTies #ethics

The Effect of Teachers’ #CognitiveSkills on Students' Educational Achievements https://d.repec.org/n?u=RePEc:boi:wpaper:2025.04&r=&r=neu
"… teachers' cognitive abilities—mainly those measured by #math matriculation scores—have clear and positive effects on both students' short-term matriculation test scores and several long-term measures of academic success, such as the probability of pursuing post-secondary studies at a research university and the probability of choosing a #STEM major subject. Additionally, teachers with higher cognitive abilities are shown to lead to higher gains, particularly among students with stronger aptitude and same-gender student-teacher matching. … These findings suggest that the benefits of having cognitively skilled teachers extend well beyond high school, indicating that teacher influence emerges not only from direct "active" teacher effects but also through implicit behaviors that enhance students' willingness to pursue post-secondary studies in the same fields. "
#LaborEcon

The Effect of Teachers’ #CognitiveSkills on Students' Educational Achievements https://d.repec.org/n?u=RePEc:boi:wpaper:2025.04&r=&r=neu
"… teachers' cognitive abilities—mainly those measured by #math matriculation scores—have clear and positive effects on both students' short-term matriculation test scores and several long-term measures of academic success, such as the probability of pursuing post-secondary studies at a research university and the probability of choosing a #STEM major subject. Additionally, teachers with higher cognitive abilities are shown to lead to higher gains, particularly among students with stronger aptitude and same-gender student-teacher matching. … These findings suggest that the benefits of having cognitively skilled teachers extend well beyond high school, indicating that teacher influence emerges not only from direct "active" teacher effects but also through implicit behaviors that enhance students' willingness to pursue post-secondary studies in the same fields. "
#LaborEcon

Should I Stay or Should I Go Now? An Investigation into Gender Differences in the Impact of Switching Jobs on Earnings
https://arxiv.org/pdf/2505.09791
"… whilst job switching does generally lead to higher earnings growth, men tend to benefit to a greater extent than women, even after controlling for sector, age, and other factors."
#LaborEcon #wages #gpg

Note to authors: Do not report ten decimal places if your margin of error exceeds 0.1.

Should I Stay or Should I Go Now? An Investigation into Gender Differences in the Impact of Switching Jobs on Earnings
https://arxiv.org/pdf/2505.09791
"… whilst job switching does generally lead to higher earnings growth, men tend to benefit to a greater extent than women, even after controlling for sector, age, and other factors."
#LaborEcon #wages #gpg

Note to authors: Do not report ten decimal places if your margin of error exceeds 0.1.

Work Is Not Well-Being https://www.project-syndicate.org/commentary/development-policies-and-programs-should-focus-on-financial-well-being-not-work-by-adanna-chukwuma-2025-06
"Policymakers and the development community now confront an urgent choice: either watch the gulf between #work and #wellBeing continue to widen, or revise our approach, so that it focuses not on maximizing employment, but on delivering universal financial well-being
… Effective interventions would include labor policies that ensure adequate incomes and portable benefits even for gig and informal workers; #automaticStabilizers, such as unemployment insurance and child allowances; and accessible, even mandatory, savings programs.
… Critics might argue that decoupling well-being from work would reduce people’s incentive to participate in the labor market. But experience has shown that when people have financial security, they make better employment decisions, invest in education, take entrepreneurial risks, and contribute more productively to the economy. The costs of maintaining the status quo – in the form of lost productivity, higher health-care spending, and emergency crisis responses – dwarf those of investing in universal financial well-being"
#LaborEcon #economicPolicy

Work Is Not Well-Being https://www.project-syndicate.org/commentary/development-policies-and-programs-should-focus-on-financial-well-being-not-work-by-adanna-chukwuma-2025-06
"Policymakers and the development community now confront an urgent choice: either watch the gulf between #work and #wellBeing continue to widen, or revise our approach, so that it focuses not on maximizing employment, but on delivering universal financial well-being
… Effective interventions would include labor policies that ensure adequate incomes and portable benefits even for gig and informal workers; #automaticStabilizers, such as unemployment insurance and child allowances; and accessible, even mandatory, savings programs.
… Critics might argue that decoupling well-being from work would reduce people’s incentive to participate in the labor market. But experience has shown that when people have financial security, they make better employment decisions, invest in education, take entrepreneurial risks, and contribute more productively to the economy. The costs of maintaining the status quo – in the form of lost productivity, higher health-care spending, and emergency crisis responses – dwarf those of investing in universal financial well-being"
#LaborEcon #economicPolicy

Peer pressure or personal choice? How peer working hours shape individual working hours preferences https://d.repec.org/n?u=RePEc:zbw:ifsowp:315193&r=&r=exp
"We show that colleagues’ working hours causally affect working hours preferences. The reasons given by the respondents for choosing the stated working hours, by contrast, are primarily personal. This shows that preferences are socially determined, even if they are rationalised in individualistic terms. Our findings emphasise the importance of collective action for working time policy and highlight methodological challenges that need to be considered when analysing and interpreting working time preferences."
#LaborEcon #ExperimentalEcon

Peer pressure or personal choice? How peer working hours shape individual working hours preferences https://d.repec.org/n?u=RePEc:zbw:ifsowp:315193&r=&r=exp
"We show that colleagues’ working hours causally affect working hours preferences. The reasons given by the respondents for choosing the stated working hours, by contrast, are primarily personal. This shows that preferences are socially determined, even if they are rationalised in individualistic terms. Our findings emphasise the importance of collective action for working time policy and highlight methodological challenges that need to be considered when analysing and interpreting working time preferences."
#LaborEcon #ExperimentalEcon

Firms’ Beliefs About Wage Setting https://openaccess.nhh.no/nhh-xmlui/bitstream/handle/11250/3182213/DP%2005.pdf?sequence=1&isAllowed=y
"… a significant minority of firms misperceive their position in the wage distribution… approximately 18 percent of firms hold inaccurate beliefs about their wage relative to other firms.
… the primary motivation for paying higher #wages is the desire to attract new candidates and retain incumbent employees. In contrast, compensating differentials for unfavorable job amenities emerge as the least common justification for offering higher wages"
#LaborEcon #retention #wageTransparency

Firms’ Beliefs About Wage Setting https://openaccess.nhh.no/nhh-xmlui/bitstream/handle/11250/3182213/DP%2005.pdf?sequence=1&isAllowed=y
"… a significant minority of firms misperceive their position in the wage distribution… approximately 18 percent of firms hold inaccurate beliefs about their wage relative to other firms.
… the primary motivation for paying higher #wages is the desire to attract new candidates and retain incumbent employees. In contrast, compensating differentials for unfavorable job amenities emerge as the least common justification for offering higher wages"
#LaborEcon #retention #wageTransparency

Working Hours and Workers' Health: Evidence from a National Experiment in Sweden https://d.repec.org/n?u=RePEc:iza:izadps:dp17707&r=&r=eur
"The regulation of working hours is one of the oldest concerns in employment legislation due to its importance for protecting workers’ physical and mental #health and maintaining labour #productivity.
… new causal evidence on the impact of reduced working hours on worker mortality: the implementation of the 8-hour workday reduced average annual mortality rates among affected workers by around 15% over the first seven years. These results are particularly pronounced among older workers and largely driven by decreases in deaths from workplace accidents, disability cases, and sick days.
… reducing working hours could be an important strategy to improve worker health and reduce mortality, particularly in labour-intensive sectors."
#LaborEcon #employmentLaw

Working Hours and Workers' Health: Evidence from a National Experiment in Sweden https://d.repec.org/n?u=RePEc:iza:izadps:dp17707&r=&r=eur
"The regulation of working hours is one of the oldest concerns in employment legislation due to its importance for protecting workers’ physical and mental #health and maintaining labour #productivity.
… new causal evidence on the impact of reduced working hours on worker mortality: the implementation of the 8-hour workday reduced average annual mortality rates among affected workers by around 15% over the first seven years. These results are particularly pronounced among older workers and largely driven by decreases in deaths from workplace accidents, disability cases, and sick days.
… reducing working hours could be an important strategy to improve worker health and reduce mortality, particularly in labour-intensive sectors."
#LaborEcon #employmentLaw

Gender Differences in the Duration of Sick Leave: Economics or Biology https://d.repec.org/n?u=RePEc:zbw:glodps:1542&r=&r=lab
"men and women recover at different rates for the same injuries, with biological differences explaining the majority of the observed gender gap.
… men tend to use more sick leave days for reasons unrelated to #health recovery. The findings offer valuable insights for policymakers and employers, providing an empirical foundation for targeted policies that reduce gender-based #discrimination in the workplace and ensure fairer resource allocation."
#LaborEcon

Gender Differences in the Duration of Sick Leave: Economics or Biology https://d.repec.org/n?u=RePEc:zbw:glodps:1542&r=&r=lab
"men and women recover at different rates for the same injuries, with biological differences explaining the majority of the observed gender gap.
… men tend to use more sick leave days for reasons unrelated to #health recovery. The findings offer valuable insights for policymakers and employers, providing an empirical foundation for targeted policies that reduce gender-based #discrimination in the workplace and ensure fairer resource allocation."
#LaborEcon

Measurement Error in Earnings https://d.repec.org/n?u=RePEc:cqe:wpaper:10824&r=&r=lma
"… survey earnings instead of administrative earnings produce an
underestimation of 8% of monthly earnings…The measurement error is non-normal, skewed, & mean-reverting.
Females seem
to produce more accurate measurements of their earnings, while males’ reports are an over/understatement of their gross earnings, rendering descriptions of inequality potentially inaccurate."
#LaborEcon #wages

Measurement Error in Earnings https://d.repec.org/n?u=RePEc:cqe:wpaper:10824&r=&r=lma
"… survey earnings instead of administrative earnings produce an
underestimation of 8% of monthly earnings…The measurement error is non-normal, skewed, & mean-reverting.
Females seem
to produce more accurate measurements of their earnings, while males’ reports are an over/understatement of their gross earnings, rendering descriptions of inequality potentially inaccurate."
#LaborEcon #wages

Not incentivized yet efficient: Working from home in the public sector https://d.repec.org/n?u=RePEc:cep:cepdps:dp2036&r=&r=lma
"… workers who are highly productive at home are also highly productive at the office
… most workers are more productive when assigned to #WFH than WFO
… WFH increases productivity by 12%. These #productivity gains are primarily driven by reduced distractions. They are not explained by differences in quality, shift length, or task allocation. "
#LaborEcon #RTO

Not incentivized yet efficient: Working from home in the public sector https://d.repec.org/n?u=RePEc:cep:cepdps:dp2036&r=&r=lma
"… workers who are highly productive at home are also highly productive at the office
… most workers are more productive when assigned to #WFH than WFO
… WFH increases productivity by 12%. These #productivity gains are primarily driven by reduced distractions. They are not explained by differences in quality, shift length, or task allocation. "
#LaborEcon #RTO

A New Indicator of Labor Market Tightness for Predicting Wage Inflation https://libertystreeteconomics.newyorkfed.org/2024/10/a-new-indicator-of-labor-market-tightness-for-predicting-wage-inflation/
The "Tightness Index of quits & vacancies per searcher performs well in summarizing labor market tightness for the purposes of determining wage inflation. The relationship remained strong during the COVID period and recovery, suggesting that the empirical relationship documented is robust to even large, unusual economic shocks."
#LaborEcon #wages

A New Indicator of Labor Market Tightness for Predicting Wage Inflation https://libertystreeteconomics.newyorkfed.org/2024/10/a-new-indicator-of-labor-market-tightness-for-predicting-wage-inflation/
The "Tightness Index of quits & vacancies per searcher performs well in summarizing labor market tightness for the purposes of determining wage inflation. The relationship remained strong during the COVID period and recovery, suggesting that the empirical relationship documented is robust to even large, unusual economic shocks."
#LaborEcon #wages

#CfP: 6th World Labor Conference, June 27–29, 2025, Toronto, Ontario Canada

https://www.sole-jole.org/upcoming-meeting
https://www.sole-jole.org/assets/docs/SOLE2025/SOLE%202025%20Call%20for%20Papers.pdf

Submission deadline Dec 1, 2024
#SOLE #EALE #AASLE #LaborEcon

#CfP: 6th World Labor Conference, June 27–29, 2025, Toronto, Ontario Canada

https://www.sole-jole.org/upcoming-meeting
https://www.sole-jole.org/assets/docs/SOLE2025/SOLE%202025%20Call%20for%20Papers.pdf

Submission deadline Dec 1, 2024
#SOLE #EALE #AASLE #LaborEcon

Age & Cognitive Skills: Use It or Lose It https://arxiv.org/pdf/2410.00790
"…average skills increase into the forties before decreasing slightly in literacy & more strongly in numeracy
…skills decline at older ages only for those with below-average skill usage. White-collar & higher-educated workers with above-average usage show increasing #skills even beyond their forties. Women have larger skill losses at older age, particularly in numeracy"
#aging #LaborEcon

Age & Cognitive Skills: Use It or Lose It https://arxiv.org/pdf/2410.00790
"…average skills increase into the forties before decreasing slightly in literacy & more strongly in numeracy
…skills decline at older ages only for those with below-average skill usage. White-collar & higher-educated workers with above-average usage show increasing #skills even beyond their forties. Women have larger skill losses at older age, particularly in numeracy"
#aging #LaborEcon

Evolving Beveridge Curve Dynamics https://www.sheffield.ac.uk/media/75496/download?attachment
"the Beveridge Curve represents the impact of multiple shocks: in addition to the productivity & job destruction shocks… wage & demand shocks are also important
… the slope generated by wage shocks is smaller than the curves generated by productivity & demand shocks: the increasing importance of these shocks therefore implies a flattening of the aggregate Beveridge Curve."
#LaborEcon #wages

Evolving Beveridge Curve Dynamics https://www.sheffield.ac.uk/media/75496/download?attachment
"the Beveridge Curve represents the impact of multiple shocks: in addition to the productivity & job destruction shocks… wage & demand shocks are also important
… the slope generated by wage shocks is smaller than the curves generated by productivity & demand shocks: the increasing importance of these shocks therefore implies a flattening of the aggregate Beveridge Curve."
#LaborEcon #wages

via @upjohninstitute
New research shows that job design—the choices employers make about the actual tasks workers are assigned—could provide a route to higher-paying jobs for the future.
https://www.upjohn.org/research-highlights/businesses-can-support-higher-paying-jobs-giving-workers-more-autonomy
#wages #LaborEcon

via @upjohninstitute
New research shows that job design—the choices employers make about the actual tasks workers are assigned—could provide a route to higher-paying jobs for the future.
https://www.upjohn.org/research-highlights/businesses-can-support-higher-paying-jobs-giving-workers-more-autonomy
#wages #LaborEcon

Skills and Human Capital in the Labor Market
https://www.nber.org/system/files/working_papers/w32908/w32908.pdf
"…argue for a new approach that treats workers as agents who decide how to allocate their labor over job tasks.
Traditional cognitive #skills make workers more productive in any task, while higher-order skills govern workers’ choices of which tasks to perform and whether to work alone or in a team."
#LaborEcon

Skills and Human Capital in the Labor Market
https://www.nber.org/system/files/working_papers/w32908/w32908.pdf
"…argue for a new approach that treats workers as agents who decide how to allocate their labor over job tasks.
Traditional cognitive #skills make workers more productive in any task, while higher-order skills govern workers’ choices of which tasks to perform and whether to work alone or in a team."
#LaborEcon

‪RT Aaron Sojourner‬ @aaronsojourner.org‬
"A Cut in the CPS Sample Size Would Put Reliable Measurement of U.S. Unemployment at Risk"

American Economics Association Committee on Statistics statement on BLS funding shortage that's undercutting the Current Population Survey.

https://www.aeaweb.org/content/file?id=21048
#economics #statistics #LaborEcon

‪RT Aaron Sojourner‬ @aaronsojourner.org‬
"A Cut in the CPS Sample Size Would Put Reliable Measurement of U.S. Unemployment at Risk"

American Economics Association Committee on Statistics statement on BLS funding shortage that's undercutting the Current Population Survey.

https://www.aeaweb.org/content/file?id=21048
#economics #statistics #LaborEcon

Trust, Intangible Assets, and Productivity https://www.nber.org/papers/w32513
"… productivity gains stemming from the use of intangibles are boosted where social #trust is high and where hiring and firing restrictions are low
…mediating effects of trust in the relationship between intangibles and productivity are most likely channeled by the better ability to implement efficiency-enhancing management practices in a high trust environment"
#LaborEcon

Trust, Intangible Assets, and Productivity https://www.nber.org/papers/w32513
"… productivity gains stemming from the use of intangibles are boosted where social #trust is high and where hiring and firing restrictions are low
…mediating effects of trust in the relationship between intangibles and productivity are most likely channeled by the better ability to implement efficiency-enhancing management practices in a high trust environment"
#LaborEcon

LABOR-LLM: Language-Based Occupational Representations with Large Language Models https://arxiv.org/pdf/2406.17972
"For the task of next job prediction, we demonstrate that models trained with our approach outperform several alternatives in terms of predictive performance on the survey data, including traditional econometric models, CAREER, and LLMs with in-context learning"
#LaborEcon #llm #CareerPaths

LABOR-LLM: Language-Based Occupational Representations with Large Language Models https://arxiv.org/pdf/2406.17972
"For the task of next job prediction, we demonstrate that models trained with our approach outperform several alternatives in terms of predictive performance on the survey data, including traditional econometric models, CAREER, and LLMs with in-context learning"
#LaborEcon #llm #CareerPaths

Delighted to be presenting next week at the @georgemasonu Institute for #Immigration Research

I'll give an opinionated overview of what the economics research literature suggests for better policy at the US Southwest border

https://iir.gmu.edu/events/15408 #LaborEcon

Delighted to be presenting next week at the @georgemasonu Institute for #Immigration Research

I'll give an opinionated overview of what the economics research literature suggests for better policy at the US Southwest border

https://iir.gmu.edu/events/15408 #LaborEcon