A new GLO Discussion Paper finds a positive and significant impact of AI patent families on employment, supporting the labour friendly nature of product innovation in the AI supply industries.
The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.
Author Abstract: This study investigates the possible job-creation impact of AI technologies, focusing on the supply side, namely the providers of the new knowledge base. The empirical analysis is based on a worldwide longitudinal dataset of 3,500 front-runner companies that patented the relevant technologies over the period 2000-2016. Obtained from GMM-SYS estimates, our results show a positive and significant impact of AI patent families on employment, supporting the labour friendly nature of product innovation in the AI supply industries. However, this effect is small in magnitude and limited to service sectors and younger firms, which are the leading actors of the AI revolution. Finally, some evidence of increasing returns seems to emerge; indeed, the innovative companies which are more focused on AI technologies are those obtaining the larger impacts in terms of job creation.
See also the recent GLO virtual Seminar on this paper: LINK
The Institute for Economic and Social Research (IESR) at Jinan University and the Global Labor Organization (GLO) are jointly organizing the Fourth IESR-GLO Virtual Conference. The conference this year will be held from June 24 (Thursday) to June 26 (Saturday), 2021 through Zoom. The theme is Social Safety Net and Welfare Programs. Robert Moffitt and Timothy Smeeding will be the keynote speakers.
The IESR-GLO annual conference is aimed to provide a platform for scholars and experts to exchange ideas on the current pressing economic issues through presentations of high-quality academic papers and policy discussions. Previous IESR-GLO Conferences have covered topics such as the Economics of Covid-19 in 2020 and on the Labor Markets in Belt and Road countries in 2019.
Submission
We welcome papers on topics related to Social Safety Net and Welfare Programs, especially social assistance programs.
Please submit a full paper or extended abstracts at
no later than 24:00 May 31, 2021 (Beijing Time, GMT+8).
The corresponding author will be notified of the decision by June 10, 2021.
No submission fee is required.
Keynote speakers
Robert Moffitt
Robert A. Moffitt is the Krieger-Eisenhower Professor of Economics at Johns Hopkins University and holds a joint appointment at the Johns Hopkins Bloomberg School of Public Health. He obtained his Ph.D. degree from Brown University. His research interests are in the areas of labor economics and applied microeconometrics, with a special focus on the economics of issues relating to the low-income population in the U.S.. A large portion of his research has concerned the labor supply decisions of female heads of family and its response to the U.S. welfare system. He has published on the AFDC, Food Stamp, and Medicaid programs.
Moffitt has served as Chief Editor of the American Economic Review, Coeditor of the Review of Economics and Statistics, Chief Editor of the Journal of Human Resources, and as Chair of the National Academy of Sciences Panel to Evaluate Welfare Reform. He is currently editor of Tax Policy and the Economy.
Moffitt is also a Fellow of the Econometric Society, a Fellow of the Society of Labor Economists, a member of the National Academy of Sciences, a recipient of a MERIT Award from the National Institutes of Health, a recipient of a Guggenheim Fellowship, a Fellow of the American Academy of Arts and Sciences, and Past President of the Population Association of America.
Timothy Smeeding
Timothy Smeeding is Lee Rainwater Distinguished Professor of Public Affairs and Economics of the University of Wisconsin–Madison. He obtained his Ph.D. in Economics from the University of Wisconsin–Madison. He was director of the Institute for Research on Poverty from 2008–2014 and was the founding director of the Luxembourg Income Study from 1983-2006. He was named the John Kenneth Galbraith Fellow, American Academy of Political and Social Science in 2017.
Professor Smeeding’s recent work has been on social and economic mobility across generations, inequality of income, consumption and wealth, and poverty in national and cross-national contexts.
His recent publications include: SNAP Matters: How Food Stamps Affect Health and Well Being (Stanford University Press, 2015); Monitoring Social Mobility in the 21st Century (Annals of the American Academy of Political and Social Science, 2015); From Parents to Children: The Intergenerational Transmission of Advantage (Russell Sage Foundation, 2012); Persistence, Privilege and Parenting: The Comparative Study of Intergenerational Mobility (Russell Sage Foundation, 2011); The Handbook of Economic Inequality (Oxford University Press, 2009); Poor Kids in a Rich Country: America’s Children in Comparative Perspective (Russell Sage Foundation, 2003); and The American Welfare State: Laggard or Leader?, (Oxford University Press, 2010).
Klaus F. Zimmermann, GLO Shuaizhang Feng, Jinan University Sen Xue, Jinan University
Contact
For inquiries regarding the conference, please contact Sen Xue at sen.xue@jnu.edu.cn. General inquiries regarding the submissions should be directed to iesrjnu@gmail.com.
Posted inEvents, News, Research|Comments Off on Fourth IESR-GLO Conference on ‘Social Safety Net and Welfare Programs’ with Robert Moffitt & Timothy Smeeding (June 24-26)
A new paper published ONLINE FIRST with free OPEN ACCESSdocuments a harming effect of the Fox News Channel in the United States on physical distancing during the COVID-19 pandemic.
The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.
Author Abstract: We document a causal effect of conservative Fox News Channel in the United States on physical distancing during COVID-19 pandemic. We measure county-level mobility covering all U.S. states and District of Columbia produced by GPS pings to 15-17 million smartphones and zip-code-level mobility using Facebook location data. Then, using the historical position of Fox News Channel in the cable lineup as the source of exogenous variation, we show that increased exposure to Fox News led to a smaller reduction in distance traveled and smaller increase in the probability to stay home after the national emergency declaration in the United States. Our results show that slanted media can have a harmful effect on containment efforts during a pandemic by affecting people’s behaviour.
Posted inNews, Research|Comments Off on Pandemic Responses in the Era of Fox News. Article on the media impact on Covid performance in the Journal of Population Economics.
The Handbook in “Labor, Human Resources and Population Economics” provides an integrated picture of knowledge about the economic and social behaviors and interactions of human beings on markets, in households, in companies and in societies.A fast evolving project by the GLO with a core basis in labor economics, human resources, demography and econometrics, it will provide a large and complete summary and evaluation of the scientific state of the art. Chapters are developed under the guidance of an engaged team of editors led by the GLO President administered in 30 sections.
to find out how to contribute to this exciting venture with an own chapter.
The Section “Technological Changes and the Labor Market” is directed by Marco Vivarelli, who is also the GLO Cluster Lead of the “Technological Change” area.The Section is just completing its set of 20 published papers now available for use, review and debate.List of the articles and links to access them are below.
The Handbook of Labor, Human Resources and Population Economics Editor: Klaus F. Zimmermann
Section – Technological Changes and the Labor Market Marco Vivarelli, Section Editor Università Cattolica del Sacro Cuore Department of Economic Policy, Milan, Italy
Marco Vivarelli
Note: Find abstract links of the articles below the chapter titles.
Digitization and the Future of Work: Macroeconomic Consequences Melanie Arntz1,2, Terry Gregory3,1, Ulrich Zierahn5,1,4 1 Leibniz Centre for European Economic Research, 2University of Heidelberg, 3Institute of Labor Economics, IZA,4CESifo Research Network, 5Utrecht University
Innovation, Employment, and the Business Cycle Bernhard Dachs1, Martin Hud2, Bettina Peters2,3 1AIT Austrian Institute of Technology, 2Leibniz Centre for European Economic Research, 3University of Luxembourg
Why do employees participate in innovations? Skills and organisational design issues and the ongoing technological transformation, in production Nathalie Greenan, Silvia Napolitano Conservatoire National des Arts et Métiers
Quantity and Quality of Work in the Platform Economy Francesco Bogliacino1, Cristiano Codagnone2,3, Valeria Cirillo4, Dario Guarascio5 1Universidad Nacional de Colombia, 2Università degli Studi di Milano, 3Universitat Oberta de Catalunya, 4INAPP, National Institute for the Analysis of Public Policies, 5Università degli Studi di Roma
Integration in Global Value Chains and Employment Filippo Bontadini1, Rinaldo Evangelista2, Valentina Meliciani3, Maria Savona1 1University of Sussex, 2University of Camerino, 3University Luiss Guido Carli
Posted inNew Book, News, Research|Comments Off on Section “Technological Changes and the Labor Market” of the Handbook in “Labor, Human Resources and Population Economics” now available online.
A new GLO Discussion Paper finds a large number of over-educated workers with secondary and university level qualifications.
The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.
Author Abstract: This study examines the impact that over-education has on the earnings of private and public sector workers in Trinidad and Tobago. Using individual person’s data from the Continuous Sample Survey of the Population (CSSP) for the period 1991-2015, the returns of over-educated workers is estimated using a simple Quantile Regression approach. The labour force comprises of a large amount of over-educated workers who hold secondary and university level qualifications. The returns of workers employed in high-income jobs seems to be falling throughout the entire 1991-2015 period, while that of low and middle-income workers improved during 2004-2009 but declined thereafter the 2010-2015 as Trinidad and Tobago entered an economic recession. In addition, even though the wage returns of over-educated men, improves over the wage distribution, those in low and high-income jobs degenerated consistently throughout the 1991-2015 period. When compared to that of women, the opposite is true as their returns tends to worsen across much of the wage distribution. With any improvement being observed during 1991-2009 by low-income women.
A new GLO Discussion Paper investigates whetherthe socio-economic disadvantages that platform workers are likely to face are primarily channeled through lower incomes or more precarious working conditions.They are primarily students and face greater economic insecurity relative to all other occupations.
The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.
Author Abstract: The emergence of the platform economy has served as a defining feature of increasing fragmented labour markets in modern economies. Recent research on platform work, however, has struggled to quantify the socio-economic conditions of platform workers relative to other occupation groups. Moreover, it remains unclear if the socio-economic disadvantages that platform workers are likely to face are primarily channeled through lower incomes or their more precarious working conditions. This study uses representative survey data of platform workers in Italy to investigate their size, composition, and socio- economic conditions relative to individuals in other occupations. Our findings reveal that platform workers tend to be students and of younger age, but are diverse with respect to sex, educational attainment, and native-born status. We find that platform workers face greater economic insecurity relative to all other occupation classes. Strikingly, they also feature a rate of economic insecurity that is not significantly different from that of unemployed adults. Moreover, we find that the higher levels of insecurity are not primarily channeled through lower incomes; instead, higher rates of insecurity persist even when taking family incomes into account, suggesting that the precarity and volatility of platform work matter as much as income differences in shaping economic disadvantage. Results hold under analyses that account for selection into platform work. Our findings carry important consequences for understandings of the intensity and sources of socio- economic disadvantage of individuals engaged in platform work.
A new GLO Discussion Paper demonstrates how immigrant men following the 1965 Immigration and Nationality Act in the United States have low initial earnings and high earnings growth after all.A re-visit of an influential debate in migration economics.
The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.
Author Abstract: Two radically different descriptions of immigrant earnings trajectories in the U.S. have emerged. One asserts that immigrant men following the 1965 Immigration and Nationality Act have low initial earnings and high earnings growth. Another asserts that post-1965 immigrants have low initial earnings and low earnings growth. We describe the methodological issues that create this divide and show that low earnings growth becomes high earnings growth when immigrants are followed from their initial years in the U.S., earnings growth is allowed to vary with entry earnings, and-when following cohorts instead of individuals-sample restrictions commonly used by labor economists are avoided.
A new GLO Discussion Paper finds that the recent adoption of a two-child policy in China has substantially increased the number of second-child births.
The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.
Author Abstract: This study examines the consequences of relaxing birth quotas by exploiting an exogenous two-child policy adopted by local Chinese governments on different dates. Using China’s 2015 population census combined with a difference-in-differences framework, we find that the adoption of a two-child policy substantially increases the number of second-child births. The impact of the policy is more pronounced among couples who have higher fertility preferences and who are less sensitive to child-rearing costs. At the same time, this policy substantially decreases the number of first-child births. Child-rearing costs are a likely underlying mechanism for this decrease. All of these findings are in line with an extended Barro-Becker model.
GLO Policy Note No. 4 Theme 2: Inequalities and labor markets Theme 3: Future of Work
Working from home and income inequality in the time of COVID-19
A case study of Italy
by Luca Bonacini, Giovanni Gallo, Sergio Scicchitano
Luca Bonacini (University of Modena and Reggio Emilia, GLO)
Giovanni Gallo (Sapienza University of Rome, University of Modena and Reggio Emilia, GLO)
Sergio Scicchitano (National Institute for Public Policies Analysis – INAPP, GLO)
Luca Bonacini
Giovanni Gallo
Sergio Scicchitano
In a recent GLO Discussion Paper and just published in the Journal of Population Economics (Bonacini et al., 2021), we explore the potential consequences in labour income distribution of long-lasting increase in Working From Home (WFH) among Italian employees. Results show that an increase in WFH would be associated with an increase in the average labour income, but this potential benefit would not be equally distributed among employees. Specifically, an increase in WFH would favour male, older, high-educated, and high-paid employees. This “forced innovation” thus risks to exacerbate pre-existing inequalities in the labour market. As a consequence, this study suggests a series of policies aimed at alleviating inequality in the short run and, more importantly, that should play a rebalancing role, in the long run. ____________________
What we should know
To limit the number of deaths and hospitalisations due to the novel coronavirus, most governments decided to suspend many economic activities and restrict people’s freedom of mobility.
In this context, the opportunity to work from home (hereinafter called WFH) became of great importance, since it allows: employees to continue working and thus receiving wages, employers to keep producing services and revenues, and overall limits infection spread risk and pandemic recessive impacts.
Recent estimates for the US show that between February and May 2020 over one third of the labour force switched to WFH, resulting in about half of workers working remotely during the pandemic. Remote workers have quadrupled to 50% of US workforce (Brynjolfsson et al., 2020). Due to uncertainty about the duration of the health emergency and future contagion waves, the role of WFH in the labour market is further emphasized by the fact that it might become a new standard (rather than an unconventional) way of working in many economic sectors, possibly resulting in structural effects on the labour market worldwide (Baert et al., 2020).
Because of the WFH sudden prominence and growth, several studies recently investigated this phenomenon, especially with the objective of identifying the number of jobs that can be done remotely (Adams-Prassl et al., 2020; Dingel and Neiman, 2020; Mongey at al., 2020). However, the literature neglects potential effects of WFH on wage distribution and on income inequality in general.
What we do
This study is a first to show how a future increase in WFH would be related to changes in labour income levels and inequality.
We analyse to what extent an increase in the number of employees who have the opportunity to WFH (or at least an increase in the likelihood their professions can be performed from home) would influence the wage distribution, under the hypothesis that this WFH feasibility shift is long lasting.
We focus on Italy as an interesting case study because before the pandemic, the WFH practice was not widespread and it is the first Western country to adopt a lockdown of economic activities (on March 11). Barbieri et al. (2020) estimated that at least 3 million employees started to WFH because of lockdown measures, and a large number started even earlier due to the closure of schools and universities on March 5. Moreover, Italy was the European country with the lowest share of teleworkers before the crisis (Eurofound and ILO, 2017) and, because of the pandemic, it had to face a massive increase in WFH in a very short time without precise legislation and adequate policies.
Our analysis relies on a uniquely detailed dataset relying on the merge of two sample surveys: the Survey on Labour Participation and Unemployment (INAPP-PLUS) for the year 2018, which contains information on incomes, skills, education level, and employment conditions of approximately 45,000 working-age Italians and the Italian Survey of Professions (ICP) for the year 2013, which provides detailed information on the task-content of occupations. The analysis is conducted through an influence function regression method which allows to estimate the impact of marginal changes on an outcome variable distribution (see the paper for more details on the method).
What we find
Employees with high WFH feasibility levels are more often female, older, highly educated, and among those living in metropolitan areas.
Economic sectors being characterized by greater shares of employees with high WFH feasibility are: Finance and Insurance, Information and Communications, and Other Business Services (e.g., car renting, travel agencies, employment agencies).
Figure 1 shows the wage gap between employees with high and low WFH feasibility and the share of WFH feasibility along the income deciles. The figure clearly shows that the wage gap is increasing along the distribution and reaches highest values in the last two decile groups, as well as the same incidence of high WFH feasibility among employees.
Figure 1 – Incidence of high WFH feasibility and wage gap in favor of employees with high feasibility levels by decile of annual income
What we suggest
WFH risks to exacerbate pre-existing inequalities in the labour market. In this respect, while during the current emergency, policies aimed at alleviating inequality in the short run (e.g. income support measures for the most vulnerable), should be implemented, long-term interventions are even more necessary in order to prevent future rise of inequalities in the labour market. These long-term policies go in three interrelated directions:
The necessary massive reorganisation of work, particularly in the field of reengineering of production processes based on new digital technologies and on the possibility offered in terms of work from home requires new and more widespread skills.
We need to promote through adequate economic and cultural incentives, non-compulsory education for youth coming from poorer households. This would include training courses, which would play an important role in reducing future unequal distribution of benefits related to an increase of WFH opportunities, by increasing human capital and favouring its complementarities with technology.
Our study highlights that while most of the increase in WFH will concern women, the wage premium would be borne by male employees. In this perspective, a possible, non-exhaustive solution could be offered by policies aimed at improving work–family reconciliation, that continues to be shouldered more significantly by women. In particular, we stress the importance of an improving of public childcare and financial support to households with children.
Our study brings out several policy issues for tackling inequalities that will arise in the labour market because of the current pandemic in particular the more than probable increase in Working From Home. Our results are based on Italian data, but they may be useful to policymakers in other countries as well and, in general, where COVID-19 has forced governments and businesses to rethink production processes with a more intense and stable use of WFH. __________________
References
Adams-Prassl, A., Boneva, T., Golin M., Rauh C., (2020). Inequality in the Impact of the Coronavirus Shock: Evidence from Real Time Surveys. IZA Discussion Paper No. 13183.
Baert, S. Lippens, L. Moens, E. Sterkens, P. Weytjens, J. (2020), How do we think the COVID-19 crisis will affect our careers (if any remain)?, GLO Discussion Paper, No. 520, Global Labor Organization (GLO), Essen.
Barbieri, T., Basso, G., Scicchitano, S., (2020). Italian Workers at Risk during the COVID-19 Epidemic, GLO Discussion Paper, No. 513, Global Labor Organization (GLO), Essen.
Bonacini, L., Gallo, G. & Scicchitano, S. (2021). Working from home and income inequality: risks of a ‘new normal’ with COVID-19. J Popul Econ 34, 303–360.
Brynjolfsson, E., Horton, J. Ozimek, A. Rock, D. Sharma, G. and Yi Tu Ye, H. (2020). Covid-19 and remote work: An early look at U.S. data. NBER Working Paper 27344.
Dingel, J. I. and B. Neiman (2020). How many jobs can be done at home? Journal of Public Economics 189, 104235.
Eurofound and the International Labour Office (2017), Working anytime, anywhere: The effects on the world of work, Publications Office of the European Union, Luxembourg, and the International Labour Office, Geneva.
Mongey, S., Pilossoph, L., Weinberg. A., (2020). Which Workers Bear the Burden of Social Distancing Policies?. NBER Working Paper No. 27085.
Note: The opinions expressed here are those of the authors and not of the GLO, which has no institutional position.
Privacy & Cookies: This site uses cookies. By continuing to use this website, you agree to their use.
To find out more, including how to control cookies, see here:
Cookie Policy
