Suchergebnisse

California faces a shrinking labor force, largely due to an aging population. PPIC researchers Julien Lafortune, Hans Johnson, and Marisol Cuellar Mejia discuss their new report on the implications of—and potential solutions to—this economic challenge.

This study examines if the flow rate from open unemployment to labor market programs affect the labor-force participation rate. This question is relevant because Swedish labor-force participation is expected to decline due to the age distribution in the population. A new dataset, with monthly data from Swedish municipalities between 1991:08 and 2002:10, has been constructed. The results show that increased probability of moving from open unemployment to labor market programs has positive effects on the labor-force participation rate. Positive effects are found for different age groups. The estimated effect of the flow rate from open unemployment into labor market programs is countercyclical. The participation rate is procyclical, and counter-cyclical labor market programs could be used to prevent discouraged workers from leaving labor force. The effects of flow rates from programs to open unemployment, and from the job destruction rate are negative, as expected. Income and labor market tightness have positive effects, except for older participants. This is because it is a spurios negative correlation in data for the older participants. In general, the long run levels are achieved after about nine years, and most of the adjustment takes place during the first four years.

A national US sample is analyzed in order to make comparisons between black & white prime-age M's with respect to LF participation. The most interesting comparisons are found among the poor, where, contrary to popular belief, blacks exhibit higher rates of LF participation than whites, especially in Ur areas. These findings are examined in light of the discussions of race in the 1960s. This & other evidence suggest the need to search for a new model of race differences. 7 Tables. AA.