The wage dynamics in Spain: evidence from individual data

In this paper we test the hypothesis of a wage curve against a Phillips curve for Spain within a framework which allos for these both and more general alternatives. To this end, we use data from the European Community Household Panel, which provides micro-information for the period 1994-2001. The results indicate that a partial wage adjustment is at work, as in other European countries, and that the long-run elasticiy of wages to unemploument is close to the 'empirical law of economics' of -0.1

Wage flexibility and local labour markets: homogeneity of the wage curve in Spain

In this paper we analyse wage flexibility in Spain and its regional differences, departing from the estimation of wage curves. Specifically, and using as the main data source the Wage Structure Survey, we proceed to estimate for each Spanish region a wage equation, which explains observed wage received by workers to a group of personal and job characteristics, as well as the unemployment rate. This analysis allows to test hypothesis concerning the possible changes that may have occurred in each region in the degree of wage flexibility between the two years considered in the Survey. Also, we test the existence of regional differences in the degree of wage flexibility, which may have an important influence in the evolution of regional unemployment, given its impact on the ability of the local labour market to absorb negative shocks. The paper also allows to analyse the variability of the wage flexibility estimation with respect to the dependent variable, which could explain opposite results in the existing literature

The Motherhood Wage Penalty in a Mediterranean Country: The Case of Spain

We present evidence for the motherhood wage penalty in Spain as a representative Southern European Mediterranean country. We use the European Community Household Panel (ECHP, 1994-2001) to estimate, from both pool and fixed-effects methods, a wage equation in terms of observed variables and other non-observed individual characteristics. The empirical results confirm that there is clear evidence of a wage penalty for Spanish working women with children. Specifically, the fact that there is a birth in the family during the current year means that the woman loses 9% of her wage. We also find that having one child living in the household means a significant loss in wages of 6%, having two children, almost 14%, and having three or more, more than 15%.motherhood wage penalty, fixed-effects estimation, Spain

Returns to education and to experience within the EU: are there differences between wage earners and the self-employed?

This paper investigates the returns to education and to experience within the 15 pre-enlargement EU countries, distinguishing between wage earners and the self-employed. These returns are estimated by using a comparable data set coming from the European Community Household Panel during the period 1994-2000. To correct for the ability bias and recover the education coefficients, an Efficient Generalized Instrumental Variable technique is applied. Although the results differ across countries, two common features can be observed. First, the earnings-experience profiles indicate certain traits of competitiveness in the labor markets and, secondly, the returns to education show that signaling plays a relevant role in the earnings of workers.Returns to education, wage earners, self-employed, panel data, European Union

Regional Unemployment in Spain - Disparities, Business Cycle and Wage Setting

The existence and persistence of regional disparities is a common problem of many European economies. However, in Spain this fact exhibits a characteristic feature: a strong positive relationship with the business cycle. The analysis in this paper investigates the relationship between this distinguishing feature of the Spanish economy with the wage bargain system, and how changes in this system may have influenced the aggregate Spanish labour market performance in the recent past. The empirical findings of an important imitation effect in wage bargainings may explain both the persistence of disparities and their positive relationship with the cycle. This result has a direct implication to employment policies, which must take into account the regional dimension of the unemployment problem.

Intra-household Time Allocation: Gender Differences in Caring for Children

Der vorliegende Beitrag untersucht auf Basis von Daten des Sozio-oekonomischen Panels für Deutschland (SOEP), inwieweit selbständige Ausländer in Deutschland überdurchschnittlich hohe Einkommen erzielen. Die Untersuchung zeigt, dass ausländische Selbständige insgesamt höhere Einkommen erzielen als angestellt tätige Ausländer und dass der Unterschied größer ist als bei Selbständigen deutscher Nationalität. Die Konsequenzen dieser Untersuchungsergebnisse für Wirtschaftspolitikund Gründungslehre werden diskutiert. Die Ergebnisse der Untersuchung zeigen differenzierten Forschungsbedarf im Hinblick auf unterschiedliche Optionen der Entrepreneurship Education. This paper analyses the intra-household allocation of time to show gender differences in childcare. In the framework of a general efficiency approach, hours spent on childcare by each parent are regressed against individual and household characteristics, for five samples (Denmark, France, Germany, Italy and Spain), with data being drawn from the European Community Household Panel-ECHP (1994-2001). Empirical results show a clear inequality in childcare between fathers and mothers, with this being more evident in Mediterranean countries. Panel data estimates reveal that, in general, caring tasks are mainly influenced by the presence of young children in the household, by the total non-labor income, and by the ratio of mothers' non-labor income to family's non-labor income, with this latter variable exhibiting a different behavior across genders and across countries.Childcare, gender differences, intra-household allocation, time use

Intra-Household Time Allocation: Gender Differences in Caring for Children

This paper analyses the intra-household allocation of time to show gender differences in childcare. In the framework of a general efficiency approach, hours spent on childcare by each parent are regressed against individual and household characteristics, for five samples (Denmark, France, Germany, Italy and Spain), with data being drawn from the European Community Household Panel-ECHP (1994-2001). Empirical results show a clear inequality in childcare between fathers and mothers, with this being more evident in Mediterranean countries. Panel data estimates reveal that, in general, caring tasks are mainly influenced by the presence of young children in the household, by the total non-labor income, and by the ratio of mothers' non-labor income to family's non-labor income, with this latter variable exhibiting a different behavior across genders and across countries.childcare, gender differences, intra-household allocation, time use

The signalling role of over-education and qualifications mismatch

Over-education may arise from the voluntary decisions of individuals to acquire more qualifications than those required in the workplace, such that over-education may have a signaling role that allows workers to compensate for the lack of certain other skills, or to gain access to the labor market. This paper analyses the signaling role of over-education in Spain, a country characterised by a strongly-segmented labor market with high unemployment levels, and a large number of over-educated. Using micro data for a representative sample of Spanish workers, three different methods are applied to provide evidence that educational mismatch plays a clear signaling role. Policy implications are derived to alleviate inefficiencies in the allocation of educational resources and in the incentives of workers to use over-education as a signal

Dinámica salarial en España: evidencia a partir de datos individuales (1994-2001)

In this paper, we test the hypothesis of a wage curve against a Phillips curve for Spain, within a dynamic framework that allows for both of these, and for more general alternatives. To this end, we use data from the European Community Household Panel, providing micro-information for the period 1994-2001. The results indicate that, contrary to the situation in other European countries, the wage\ud adjustment occurs in just one period, with the elasticity of wages to unemployment being close to the «empirical law of economics» of –0.1.En este artículo, contrastamos para España la hipótesis de una curva\ud de salarios frente a la curva de Phillips en un marco dinámico que permite éstas y otras alternativas más generales. Para ello utilizamos datos del Panel de Hogares de la Unión Europea, el cual proporciona información individual para el periodo 1994-2001. Los resultados indican que, al contrario de lo observado en otros países europeos, el ajuste de los salarios tiene lugar en un solo periodo, siendo la elasticidad de largo plazo de los salarios a variaciones en el empleo próxima a la «ley empírica de la economía» de –0,1