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Abstract: To improve the employment rates and earnings of Americans workers, we need to create more coherent and effective education and workforce development systems, focusing primarily (though not exclusively) on disadvantaged youth and adults, and with education and training more clearly targeted towards firms and sectors providing good-paying jobs. This paper proposes a new set of competitive grants from the federal government to states that would fund training partnerships between employers ...; [Read more...] To improve the employment rates and earnings of Americans workers, we need to create more coherent and effective education and workforce development systems, focusing primarily (though not exclusively) on disadvantaged youth and adults, and with education and training more clearly targeted towards firms and sectors providing good-paying jobs. This paper proposes a new set of competitive grants from the federal government to states that would fund training partnerships between employers in key industries, education providers, workforce agencies and intermediaries at the state level, plus a range of other supports and services. The grants would especially reward the expansion of programs that appear successful when evaluated with randomized control trial techniques. The evidence suggests that these grants could generate benefits that are several times larger than their costs, and would therefore lead to higher earnings and lower unemployment rates among the disadvantaged.

Abstract: With young people among the big losers of the recent financial crisis, vocational education and training (VET) is often seen as the silver bullet to the problem of youth joblessness. This paper provides a better understanding of VET around the world, dealing with three types of vocational systems: school-based education, a dual system in which school-based education is combined with firm-based training, and informal training. We first explore the motivation for these different types of ...; [Read more...] With young people among the big losers of the recent financial crisis, vocational education and training (VET) is often seen as the silver bullet to the problem of youth joblessness. This paper provides a better understanding of VET around the world, dealing with three types of vocational systems: school-based education, a dual system in which school-based education is combined with firm-based training, and informal training. We first explore the motivation for these different types of training, before summarizing the institutional evidence, highlighting the key elements of each training system and discussing its main implementation strengths and challenges. We subsequently review the evidence on the effectiveness of VET versus general education and between the three VET systems. There are clear indications that VET is a valued alternative beyond the core of general education, while the dual system tends to be more effective than school-based VET. Informal training is effective, however relatively little is known of its relative strengths compared with other forms of vocational education.

Abstract: Short-time work was the "German answer" to the economic crisis. The number of short-time workers strongly increased in the recession and peaked at more than 1.5 million. Without the extensive use of short-time work, unemployment would have risen by approximately twice as much as it actually did. Short-time work has certainly contributed to the mild response of the German labor market to the crisis, but this is likely due to the country-specific context. Although the crisis has been ove ...; [Read more...] Short-time work was the "German answer" to the economic crisis. The number of short-time workers strongly increased in the recession and peaked at more than 1.5 million. Without the extensive use of short-time work, unemployment would have risen by approximately twice as much as it actually did. Short-time work has certainly contributed to the mild response of the German labor market to the crisis, but this is likely due to the country-specific context. Although the crisis has been overcome and employment is strongly expanding, modified regulations governing short-time work are still in place. This leads to undesired side effects.

L’orario ridotto ha rappresentato la «risposta tedesca» alla crisi economica. Il numero di lavoratori in regime di orario ridotto è fortemente aumentato e ha raggiunto quota 1,5 milioni. Senza l’uso estensivo di lavoro a orario ridotto, la disoccupazione sarebbe aumentata di circa il doppio rispetto a quanto avvenuto. La misura presa quindi dal governo tedesco ha fatto parte integrante della risposta del mercato del lavoro alla crisi e ha funzionato – anche se al momento si rilevano effetti collaterali indesiderati – perché l’occupazione è ora in forte espansione, ma questo è probabilmente dovuto al contesto in cui il tutto è avvenuto, al sistema paese Germania.

Abstract: The social and the private returns to education differ when education can increase productivity, and also be used to signal productivity. We show how instrumental variables can be used to separately identify and estimate the social and private returns to education within the employer learning framework of Farber and Gibbons [1996] and Altonji and Pierret [2001]. What an instrumental variable identifies depends crucially on whether the instrument is hidden from, or observed by, the empl ...; [Read more...] The social and the private returns to education differ when education can increase productivity, and also be used to signal productivity. We show how instrumental variables can be used to separately identify and estimate the social and private returns to education within the employer learning framework of Farber and Gibbons [1996] and Altonji and Pierret [2001]. What an instrumental variable identifies depends crucially on whether the instrument is hidden from, or observed by, the employers. If the instrument is hidden then it identifies the private returns to education, but if the instrument is observed by employers then it identifies the social returns to education. Interestingly, however, among experienced workers the instrument identifies the social returns to education, regardless of whether or not it is hidden.

Abstract: This summary presents the results of a study conducted by Martin Kahanec under the World Bank ASEAN Labor Markets program funded by AusAid. The primary objective of this study is to evaluate the European Union experience of the mobility of skilled labor migrants and to draw lessons from this experience for the integration of Association of Southeast Asian Nations (ASEAN) members. The EU experience of free mobility is evaluated in two specific contexts: intra-EU migration after the 2004 ...; [Read more...] This summary presents the results of a study conducted by Martin Kahanec under the World Bank ASEAN Labor Markets program funded by AusAid. The primary objective of this study is to evaluate the European Union experience of the mobility of skilled labor migrants and to draw lessons from this experience for the integration of Association of Southeast Asian Nations (ASEAN) members. The EU experience of free mobility is evaluated in two specific contexts: intra-EU migration after the 2004 and 2007 EU enlargements and migration to the European Union from the European Neighborhood Policy (ENP) countries. The study confines its attention to labor market aspects of skilled labor mobility.

Abstract: What are the migration policy lessons that can be learned from the Spanish case? Unlike countries with a large tradition of receiving immigrants, in Spain having a high-school degree does not give immigrants an advantage in terms of wage or occupational assimilation (relative to their native counterparts). This paper discusses the potential explanations behind this result and analyzes the consequences of this result in terms of migration policy recommendations.

Abstract: Higher education contributes to economic innovation. This study measures and compares the extent to which national governments’ policies foster this contribution across Europe. The study stresses the relevance of policies which are ‘empowering’ for higher education institutions, or in other words provide them with appropriate resources and regulatory environments. The assessment relies on quantitative scores, based on the contribution of policies regarding funding and autonomy to highe ...; [Read more...] Higher education contributes to economic innovation. This study measures and compares the extent to which national governments’ policies foster this contribution across Europe. The study stresses the relevance of policies which are ‘empowering’ for higher education institutions, or in other words provide them with appropriate resources and regulatory environments. The assessment relies on quantitative scores, based on the contribution of policies regarding funding and autonomy to higher education performance in education, research and economic innovation, using non-arbitrary weights and eighteen policy indicators across 32 European countries. A large number of countries belong to a ‘middle group’ in our overall assessment, indicating a relative cohesion in Europe. Yet, substantial variations exist in terms of higher education policy in Europe, each European country having room for policy improvement.

Abstract: This study provides the European Commission with an expert assessment of the main trends in the situation of migrants with regard to social assistance and access to social services, an in-depth analysis of the main determinants of these trends, and a comprehensive account of the mutual interaction of migration policies and broadly defined social assistance policies. Based on the existing evidence we conclude that there is no a priori evidence that migration would pose a burden on welfa ...; [Read more...] This study provides the European Commission with an expert assessment of the main trends in the situation of migrants with regard to social assistance and access to social services, an in-depth analysis of the main determinants of these trends, and a comprehensive account of the mutual interaction of migration policies and broadly defined social assistance policies. Based on the existing evidence we conclude that there is no a priori evidence that migration would pose a burden on welfare systems. In our empirical analysis we use European Union-wide comparable micro-data (EU-SILC), a purpose-made macro-level dataset, countryspecific studies and an own purpose-made Expert Opinion Survey. Descriptive analysis of EU-SILC data shows that migrants are more likely to be in receipt of unemployment-related supports and family-related payments in a wide range of countries. However, they are less likely to receive old-age payments and sickness and disability payments. The most clear-cut result is the greater likelihood of migrants being in poverty.

Abstract: This policy analysis paper explores the implications for the host country population of alternative immigration policies. The two immigration options considered are a policy based on admitting primarily high-skilled workers and another that has the effect of admitting primarily low-skilled workers. The implications for the native-born population for their aggregate level of income, the distribution of their income by skill level, and the size of the income redistribution system are con ...; [Read more...] This policy analysis paper explores the implications for the host country population of alternative immigration policies. The two immigration options considered are a policy based on admitting primarily high-skilled workers and another that has the effect of admitting primarily low-skilled workers. The implications for the native-born population for their aggregate level of income, the distribution of their income by skill level, and the size of the income redistribution system are considered. The paper was prepared for the Productivity Commission of Australia.

Abstract: The main question addressed by this article is whether and how gender inequalities in wages have changed in Italy in the face of the important labour market developments of the last years. Specifically, the paper addresses gender wage inequalities in Italy in the mid-1990s and in the mid-2000s. In this period important labour market developments occurred: institutional changes have loosened the use of flexible and atypical contracts; the female employment rates and educational levels h ...; [Read more...] The main question addressed by this article is whether and how gender inequalities in wages have changed in Italy in the face of the important labour market developments of the last years. Specifically, the paper addresses gender wage inequalities in Italy in the mid-1990s and in the mid-2000s. In this period important labour market developments occurred: institutional changes have loosened the use of flexible and atypical contracts; the female employment rates and educational levels have substantially increased. The time trends are defined under the different components of the gender wage gap by estimating wage distributions in the presence of covariates and sample selection and by counterfactual microsimulations. The result of this excercise is that women swam against the tide: whilst the trend in female qualifications slightly reduced the gender wage gap, the gender relative trends in the wage structure significantly increased it.