Occupational and locational substitution : measuring the effect of occupational and regional mobility

The paper analyzes effects of occupational and regional mobility on the matching rate using the monthly panel disaggregated on regional and occupational level. The main contribution of the paper is measuring the effect of substitutability between vacancies for different occupations and vacancies in different regions on matchings. The estimates indicate higher regional mobility in West Germany but higher occupational mobility in East Germany. The results show that if occupations were perfect substitutes, the number of matches could increase by 5-9%. Perfect regional mobility could increase matchings by 5-15%. It is also shown that partial aggregation causes a downward bias in substitutability estimates

Determinants of internal migration in Kazakhstan

In this paper we analyze the determinants of interregional migration in Kazakhstan using quarterly panel data on region to region migration in 2008–2010. To the best of our knowledge this is the first study on interregional population flows in Central Asia. We find that migration is determined by economic factors, first of all income: People are more likely to leave regions where incomes are low and more likely to move to regions with a higher income level. Furthermore, mobility is larger between more populated regions. Distance has a strong negative impact on migration, indicating high migration related costs and risks. Assuming that high migration costs are caused by poor infrastructure, investments in public and social infrastructure should facilitate regional income convergence in Kazakhstan and improve living standards in depressed regions.Interregional migration; Kazakhstan; Gravity model

Der Zugang von Arbeitnehmern in den Bezug von Arbeitslosengeld II

Diese Arbeit untersucht die erwerbsfähig eingestuften Bezieher von Arbeitslosengeld II, die mindestens einmal Arbeitslosengeld II im dritten Quartal 2006 bezogen haben. Unsere Ergebnisse zeigen, dass 16% der Bezieher von Arbeitslosengeld II im dritten Quartal 2006 während des Zeitraums 2000 bis 2005 keine Arbeitslosenhilfe oder Arbeitslosengeld II bezogen. Weiterhin wird untersucht, inwieweit sich der Bezug von Arbeitslosengeld II für Personen, die vorher noch nie Arbeitslosenhilfe oder Arbeitslosengeld II bezogen haben, aus den Prozessdaten der Bundesagentur für Arbeit prognostizieren lässt. Unsere Schätzungen ergeben, dass mit den Prozessdaten die höchste prognostizierte Wahrscheinlichkeit neu in den Bezug von Arbeitslosengeld II Personengruppen überzugehen bei 49% liegt. Für den überwiegenden Teil der Stichprobe ergeben sich jedoch weit geringere prognostizierte Übergangswahrscheinlichkeiten. Gleichwohl identifiziert die Analyse wichtige Prädiktoren für den Zugang in Arbeitslosengeld II und damit werden deutliche Unterschiede zwischen verschiedenen Personengruppen im Hinblick auf die Herkunft der Zugänge erkennbar. Beispielsweise kann eine Teilstichprobe von 12% aller Personen ohne bisherigen Arbeitslosenhilfe- oder Arbeitslosengeld-II-Bezug innerhalb des Zeitraums 2000 bis 2005 in administrativen Daten identifiziert werden, aus der ca. zwei Drittel aller Arbeitslosengeld-II-Zugänge von Männern und ca. 55% aller Arbeitslosengeld-II-Zugänge von Frauen entstammen

Language Usage, Participation, Employment and Earnings: Evidence for Foreigners in West Germany with Multiple Sources of Selection

Language proficiency may not only affect the earnings of the individual, but the probability to participate in the labor market or becoming employed as well. It may also affect selection of people into economic sector and occupation. In this paper, the effects of language proficiency on earnings are analyzed for foreigners in Germany with joint consideration of up to four types of selection. The results show that language proficiency significantly increases participation and employment probability and affects occupational choice. When selection into economic sector and occupation is regarded, we do not find an impact of language ability on earnings thereby implying an indirect effect. --Foreigners,Participation,Employment,Language Ability,Multiple Selection

Earnings Prospects for People with Migration Background in Germany

Less than half of the people with migration background living in Germany possess foreign citizenship. Hence, using citizenship to analyze economic issues of immigration may be problematic for two reasons. On the one hand, a quite substantial share of persons with migration background is neglected in the group of interest, and, on the other hand, the reference group (native Germans) may be contaminated by effects from naturalized immigrants. This paper utilizes a wider definition covering all persons with migration background to analyze the earnings prospects. To shed light on differences to the common use of citizenship, estimates are presented in comparison to foreigner and German citizens. The results show that persons with migration background have similar earnings prospects to foreigners. Moreover, earnings prospects for native Germans do not differ much from those of German citizenship. Therefore, using citizenship to approximate natives and non- natives when analyzing earnings issues seems to be reasonable. A second question of the paper is whether degrees obtained in Germany lead to better earnings prospects compared to degrees obtained abroad for persons with migration background. Independently of gender and skill level, the estimates affirm higher earnings to educational attainment in Germany. --Migration background,earnings prospects,education,Germany

Social Norms, Status Spending and Household Debt: Evidence from Kyrgyzstan

Development economists have two key paradigms concerning poverty and financial markets. One considers the poor in the developing world as operating in imperfect markets. Another view is that the poor are subject to constraints. The policy prescriptions stemming from these views would be improving market access and redistribution. We consider one important constraint the poor are facing: social norms which require spending on ceremonial activities. This paper adds to the literature by providing empirical evidence that having access to loans makes households spend more on ceremonies and with the higher ceremonial spending they increase the likelihood of debt thus creating a vicious circle which might keep households in poverty. Thus policies which are aimed at either removing market frictions or providing benefits to the poor will not have a desired effect. These measures have to be combined with reforms aimed at changing the existing institutions

Short-term training programs for immigrants: do effects differ from natives and why?

We evaluate the effects of different short-term training programs on the employment chances of immigrant and native welfare recipients in Germany. In particular, we investigate whether program effects differ between both groups and what might cause these potential differences. In a first step, we evaluate program effects separately for immigrants and natives using propensity score matching estimators. To explain potential differences in effects between the groups, we suggest and apply a decomposition method based on the matching procedure that allows identification of differences due to observable characteristics and differences related to an immigrant fixed effect in a second step. --Immigrants,short-term training programs,evaluation,decomposition,matching,Germany

Der Zugang von Arbeitnehmern in den Bezug von Arbeitslosengeld II

Diese Arbeit untersucht die erwerbsfÄahig eingestuften Bezieher von Arbeitslosengeld II, die mindestens einmal Arbeitslosengeld II im dritten Quartal 2006 bezogen haben. Unsere Ergebnisse zeigen, dass 16% der Bezieher von Arbeitslosengeld II im dritten Quartal 2006 während des Zeitraums 2000 bis 2005 keine Arbeitslosenhilfe oder Arbeitslosengeld II bezogen. Weiterhin wird untersucht, inwieweit sich der Bezug von Arbeitslosengeld II für Personen, die vorher noch nie Arbeitslosenhilfe oder Arbeitslosengeld II bezogen haben, aus den Prozessdaten der Bundesagentur für Arbeit prognostizieren lässt. Unsere SchÄatzungen ergeben, dass mit den Prozessdaten die höchste prognostizierte Wahrscheinlichkeit neu in den Bezug von Arbeitslosengeld II Personengruppen überzugehen bei 49% liegt. Für den überwiegenden Teil der Stichprobe ergeben sich jedoch weit geringere prognostizierte Übergangswahrscheinlichkeiten. Gleichwohl identifiziert die Analyse wichtige Prädiktoren für den Zugang in Arbeitslosengeld II und damit werden deutliche Unterschiede zwischen verschiedenen Personengruppen im Hinblick auf die Herkunft der Zugänge erkennbar. Beispielsweise kann eine Teilstichprobe von 12% aller Personen ohne bisherigen Arbeitslosenhilfe{ oder Arbeitslosengeld{II{Bezug innerhalb des Zeitraums 2000 bis 2005 in administrativen Daten identifiziert werden, aus der ca. zwei Drittel aller Arbeitslosengeld{II{Zugänge von Männern und ca. 55% aller Arbeitslosengeld{II{Zugänge von Frauen entstammen. --Arbeitslosengeld II,Zugangsprozesse,Prozessdaten.

The Immigrant Wage Gap in Germany

Immigrants consist of foreigners and citizens with migration background. We analyze the wage gap between natives and these two groups in Germany. The estimates show a substantial gap for both groups with respect to natives. Discarding immigrants who completed education abroad reduces much of the immigrants' wage gap. This implies educational attainment in Germany is an important component of economic integration and degrees obtained abroad are valued less. --Immigration,wage gap,decomposition,Germany

Economic Returns to Speaking the Right Language(s)? Evidence from Kazakhstan's Shift in State Language and Language of Instruction

This paper investigates the economic returns to language skills and bilingualism. The analysis is staged in Kazakhstan, a multi-ethnic country with complex ethnic settlement patterns that has switched its official state language from Russian to Kazakh. Using two newly assembled data sets, we find negative returns to speaking Kazakh and a negative effect of bilingualism on earnings while Russian was the official state language in the 1990s. Surprisingly, the Kazakh language continues to yield a negative wage premium 13 years after it has been made official state language. While we do neither find evidence for an ethnically segmented labor market nor for reverse causality, the low economic value of the Kazakh language can be explained by the comparatively poor quality of schools with Kazakh as language of instruction. Based on PISA data, we illustrate that scholastic achievements are substantially lower for pupils taught in Kazakh, despite the official support for the titular language. Our results suggest that switching the official state language without appropriate investments in school resources is unlikely to cure the economic disadvantage of a previously marginalized language