Suchergebnisse

In this paper, we estimate a theory-consistent model of single parents labour supply behaviour using a variant of the semi-log labour supply function. The underlying preferences are used to simulate the impact of a proposed reform to the Family Credit element of the UK Social Security system using the simulation algorithm SPAIN (Simulation Program for the Analysis of INcentives). In choosing an appropriate labour supply model to include in the simulation algorithm, the degree to which the model satisfies concavity is an important distributional consideration. In this respect, the semi-log supply function is found to be a most suitable model for simulation, with virtually the entire sample of single parents satisfying the Slutsky condition both at the estimation stage and during simulation. Using data from the UK Family Expenditure Survey over the years 1981 to 1988, a model of labour force participation is developed. Empirical results indicate that the presence of a young child in the household is the single most important factor discouraging labour market participation. The availability of both formal and informal childcare are seen to raise the probability of participation. Results from our simulation suggest that between 30,000 and 40,000 lone parents will be encouraged to return to work by the changes to Family Credit regulations, emphasising the potential positive labour market role of social security benefits.

AbstractDuring the Soviet era, proficiency in the Russian language was often a ticket to attractive employment opportunities in the member republics. Does it still contribute to securing employment in the former Soviet republics after two decades of transition? Using data from Armenia, Azerbaijan and Georgia in the years 2008–2010, this paper demonstrates that Russian language skills remain economically valuable. The baseline estimates suggest that Russian language skills increase probability of employment by about 6 (males) and 9 (females) percentage points. Our results bear important implications for the ongoing debates on language policies in the post‐Soviet countries.

This article exploits plausibly exogenous changes in macroeconomic conditions across home countries over time and panel individual data to examine the causal impact of home countries' macroeconomic conditions on immigrants' well-being in Australia. We present new and robust evidence that immigrants in Australia feel happier when their home countries' macroeconomic conditions improve, as measured by a higher gross domestic product (GDP) per capita or lower price levels. Controlling for immigrants' observable and unobservable characteristics, we also find that the positive GDP impact is statistically significant and economically large in size. Furthermore, the GDP and price impact erodes as immigrants age or stay in the host country beyond a certain period of time. Our findings suggest that immigrants in Australia have emotional or altruistic connections to their home countries and appear encouraging for home countries increasingly attempting to convince their diasporas to contribute more to the development of their homelands.