Timing, Fragmentation of Work and Income Inequality - An Earnings Treatment Effects Approach

Traditional welfare analyses based on money income needs to be broadened by its time dimension. In the course of time the traditional full-time work is diminishing and new labour arrangements are discussed (keyword: flexible labour markets). Our study is contributing to economic well-being by adding insights into particular work effort characteristics - the daily timing of work and its fragmentation - and its resulting income distribution. With our focus on ‘who is working when within a day with which earnings consequences’ we go beyond traditional labour market analyses with its working time division into aggregated full and part time work, working hours spread across a week and weekend, life time working etc. Whereas the first part of our study is describing the distribution of timing and fragmentation of daily work time and its resulting income based on more than 35.000 diaries of the recent German Time Budget Survey 2001/2002, the second part of our study quantifies determinants of arrangement specific earnings functions detecting significant explanatory pattern of what is behind. The economic theory behind is a human capital approach in a market and non-market context, extended by non-market time use, the partner’s working condition, social networking as well as household and regional characteristics. The econometrics use a treatment effects type interdependent estimation of endogenous participation (selection) in a daily working hour pattern (self-selection)and pattern specific earnings function explanation. The overall result: Individual earnings in Germany are dependent on and significant different with regard to the daily working hour arrangement capturing timing and fragmentation of work time. Market and non-market factors are important and significant in explaining earnings

Foreign Direct Investment, Ecological Withdrawals, and Natural-Resource-Dependent Economies

This article examines the relationships between foreign direct investment (FDI) and natural resource depletion and natural resource rents for a longitudinal (2005–2013: N = 125 nations) sample of less developed countries (LDCs). Theoretically, we argue that FDI contributes to increased ecological withdrawals and dependence on the natural resource sector for economic growth within countries. We hypothesized that LDCs with higher levels of FDI would also have higher levels of natural resource depletion and income (i.e., rents). We assess whether this hypothesized relationship holds across nations in our sample for four different natural resource depletion and rents measures (energy, forest, mineral, and total natural resources). We find strong support for our hypotheses regarding natural resource depletion and resource rents, with the exception of energy rents. The outcome lends support to the ecological withdrawal and ecostructural theory of foreign investment dependence perspectives