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Research Topics

Poverty Reduction & Labor


Gender-Segmented Labor Markets and the Effects of Local Demand Shocks
Chauvin, Juan Pablo
Discussion Papers - English - Aug, 2018

Gender segmentation in the labor market is widespread. However, most existing studies of the effects of labor demand shocks on local economies assume away gender. In this paper, I show that local labor demand shocks can lead to different outcomes depending on whether they favor male or female employment. I develop a spatial equilibrium model that features gender segmented labor markets and joint mobility frictions, which predicts that couples are more likely to migrate in response to male opportunities. As a result, positive shocks to local labor demand for men lead to population growth, increases in female labor supply, and housing demand growth. Meanwhile, equivalent shocks to labor demand for women lead to smaller inflows of migrant workers, and labor force participation is a relatively more important margin of adjustment in this case. I find strong empirical support for the model’s predictions in the context of Brazil during 1991-2010. Comparing the effects of gender-specific labor demand shocks, I show that male shocks produce a higher migratory response and make localities more populated and expensive. These results imply that place-making policies that create jobs for females are more likely to benefit residents while those that create male jobs are more likely to benefit immigrants and landlords.

Related JEL Codes:
J16 - Economics of Gender; Non-labor Discrimination
O15 - Human Resources; Human Development; Income Distribution; Migration
O18 - Regional, Urban, and Rural Analyses
R11 - Regional Economic Activity: Growth, Development, and Changes
R13 - General Equilibrium and Welfare Economic Analysis of Regional Economies
R23 - Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
R58 - Regional Development Policy


Public Education Investment and Local Labor Markets Evidence from a Large Federal Program in Brazil
Chauvin, Juan Pablo
Discussion Papers - English - Aug, 2018

Do education investments improve regional labor market outcomes? In principle, education could lead to higher local productivity, but potential benefits to local economies could be muted if the educated workers leave in search of better opportunities, or if shifts in the supply of skills outpace demand growth. I use a large program that redistributed public education finance across Brazilian municipalities (FUNDEF) as a source of exogenous variation to empirically study the effects of expansions in public education expenditure on attainment and labor market outcomes at the individual and the local economy levels. The program was successful at improving educational attainment levels for individuals and regions, specially at the primary school level. For individuals, education led to higher wages -mainly by enabling workers to migrate to more productive places- but my estimates of returns to schooling turn negative when I control for region-of-work characteristics. For regions, the program worsened wages and other labor market outcomes but not employment, suggesting that the increased supply of educated workers outpaced demand growth.

Related JEL Codes:
I2 - Education and Research Insititutions
J3 - Wages, Compensation, and Labor Costs
O15 - Human Resources; Human Development; Income Distribution; Migration
O18 - Regional, Urban, and Rural Analyses
R11 - Regional Economic Activity: Growth, Development, and Changes
R23 - Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics


Does Rewarding Pedagogical Excellence Keep Teachers in the Classroom? Evidence from a Voluntary Award Program
Ramos, Alejandra; Berlinski, Samuel
Working Papers - English - Jun, 2018

This paper analyzes the effects on teacher retention and between-school mobility of a program that rewards excellence in pedagogical practice in Chile. Teachers apply voluntarily for the award and those who succeed on a set of assessments receive a 6 percent annual wage increase for up to 10 years. A sharp regression discontinuity design is used to identify the causal effect of receiving the award. Using administrative data over several cohorts of applicants, the estimates indicate that locally the award does not alter transitions out of the school system. This suggests that around the threshold the skills rewarded by the program are not strongly correlated with the value of the teachers’ outside option. An increase in mobility, however, is observed within the school system among teachers who receive the award. These mobility patterns are consistent with the award providing a signal of teacher quality.

Related JEL Codes:
I21 - Analysis of Education
J45 - Public Sector Labor Markets
J63 - Turnover; Vacancies; Layoffs
M52 - Compensation and Compensation Methods and Their Effects


Sumaq Warmi: Reducing Violence Against Women in Microfinance
Aguero, Jorge; Frisancho, Veronica
Technical Notes - English - Mar, 2018

This paper evaluates the impact of Sumaq Warmi, a program that provided educational training on human rights and violence against women and children to female village banking clients in rural Peru. Within the experimental sample of banks chosen, the treatment was cluster-randomized at the village level. Two years after the intervention started, effects are not found on women’s perceptions of social norms or their attitudes towards violence. The intervention does not reduce domestic violence either. However, the treatment leads to greater awareness of violence-related resources available to women and a greater probability of perceiving their partners as more controlling. The paper also finds an impact on women’s land ownership and titling as well as their propensity to talk to a neighbor about family relationships. The treatment did not alter parental attitudes or disciplinary behavior towards children. All in all, the evidence reported here suggests that short-lived one-sided policies are not sufficient to reduce exposure to violence.

Related JEL Codes:
C21 - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions
C93 - Field Experiments
J12 - Marriage; Marital Dissolution; Family Structure; Domestic Abuse
J13 - Fertility; Family Planning; Child Care; Children; Youth


The Impact of School-Based Financial Education on High School Students and Their Teachers: Experimental Evidence from Peru
Frisancho, Veronica
Working Papers - English - Mar, 2018

Using data from a randomized controlled trial in 300 public high schools in Peru, this paper studies the potential of school-based financial education programs for youth. The intervention improves students’ and teachers’ financial knowledge by 0.14 SD and 0.32 SD, respectively. The impact of the intervention also extends to socioemotional traits and behavior, as sizable positive impacts on self-control and consumption habits among students are identified. Teachers in the treatment group become more impulsive and risk averse, and they are more likely to save (9 percentage points) and to save formally (14 percentage points).

Related JEL Codes:
D14 - Personal Finance
D91 - Intertemporal Consumer Choice; Life Cycle Models and Saving
J24 - Human Capital; Skills; Occupational Choice; Labor Productivity
O16 - Economic Development: Financial Markets; Saving and Capital Investment; Corporate Finance and Governance


Results: 1 - 5 of 417

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