Hebrew language usage: determinants and effects on earnings among immigrants in Israel

This paper uses the 1983 Census of Israel to analyze Hebrew speaking skills and the effects of Hebrew fluency on the earnings of adult male immigrants. Hebrew fluency increases with a longer duration in Israel, the presence of children in the household, marrying after immigration, living in an area in which a smaller proportion speak one‘s mother tongue, a younger age at migration, a higher level of schooling and varies by country of birth. Earnings increase monotonically with the use of Hebrew. Speaking English as a second language is associated with higher earnings, even when country of origin is held constant. Received: 9 June 1997/Accepted: 6 November 1997     

Estimating intrahousehold allocation in a collective model with household production

The purpose of this paper is to estimate the intra-family distribution of income and the individual demand for leisure and household production from Swedish cross-sectional household data. As a basis for the analysis, we use a collective model where each individual is characterized by his or her own utility function and divides total time between leisure, household production and market work. For the purpose of comparison, we also estimate a version that is consistent with a more traditional model of labor supply, the unitary model. Received: 14 April 2000/Accepted: 12 January 2001     

Residential location and youth unemployment: The economic geography of school-to-work transitions

In response to increased international policy attention to youth unemployment this study investigates post-secondary school transitions of school leavers. Multinomial logit models are estimated for male and female German youth. The models control for individual, parent, and household characteristics, for those of the youth's region of residence and local labor markets. The findings suggest that immigrant youth has particularly low participation rates in continued education, and that youth unemployment is centered in high unemployment states and metropolitan areas. More generous academic benefit policies seem to be correlated with increased academic enrollment, and men's transitions to the military do reflect recent changes in defense policies. Received: 30 November 1999/Accepted: 3 August 2000     

Household skills and low wages

Household skills provide job skills when tasks in jobs and household production are similar and jobs produce substitutes for home-made services. Opportunity costs of higher education are foregone earnings during schooling and foregone household production while studying and later in life. I show that individuals in jobs requiring household skills accept lower wage rates than traditional human capital theory predicts, and that individuals with low household skills tend to enter higher education. According to these results, declining household skills may have contributed to the observed increasing demand for higher education by women.

An analysis of the size of the family household and family structure in China]

Since 1949, great social and economic changes have taken place in China. The entire economic structure and social relations are no longer the way they used to be. These changes have also had a strong impact on the size of family households and family structure. Major changes are summarized as follows: (1) The size of the present family household has been greatly reduced from its earlier size. The main reason for this reduction in size is the change of the social system. Under the new social system, the natural population growth rate and family structure have shown the greatest change from the past. (2) The major change in family structure is that small families have replaced the traditional large families. Under the large family system, several generations may stay together as one household, and brothers do not divide the large family even after they are married. Under the small family system, a household is normally limited to the parents and their children. With the gradual disappearance of large families, small families are increasing rapidly. Some households with three generations living together are still in existence, and the young and the old may support each other in their daily life. Both in cities and in rural areas, the traditional custom of respecting one's old parents still exists. There must be a value and necessity for the existence of this particular kind of family structure.     

The relative risk aversion hypothesis of educational choice

Analysing young people's educational choices, we derive and test implications of a relative risk aversion hypothesis: that educational choices are made so as to minimize the risk of ending up with a lower level of education than one's parents. These implications are in general different from what one would expect from human capital theory. We use a unique data set which combines data from administrative registers on young people's pathways through the educational system and their family background with survey data on their academic abilities at lower secondary school. The evidence is partly in favour of the relative risk aversion hypothesis. Received: 19 August 1999/Accepted: 10 January 2001 All correspondence to Eskil Heinesen. We are grateful to Karin Blix Mogensen and Martin B?g for excellent research assistance, and to two anonymous referees, John F. Ermisch, Martin Browning, Michael Rosholm, Paul Bingley, and participants at the conference of the European Society for Population Economics in Turin, 1999, for valuable comments and suggestions. Responsible editor: John F. Ermisch.     

A preliminary inquiry about the problem of second births outside the plan]

In 1981, the population growth in China was revived and showed a new trend towards a rapid increase. In general, the rate of numerous births in one household was down, the rate for a second birth outside the plan was up sharply, and the number for a second birth outside the plan exceeded the number for multiple births in average families. As a result, how to control the second birth outside the plan has become a crucial problem for population control. Under present conditions, numerous births in each household are normally related to the financial situation of each household, the sex of earlier births, and the educationa background of the parents. The current increase in second births is not caused by financial reasons. Instead, it is caused by social and psychological reasons. The traditional belief in favor of having more male children for security in one's old age and for continuation of one's family line is still deeply rooted in the people's minds. In order to eliminate such tradtional influence, more work in ideological education is needed so that the common people may understand the need for birth control and change their traditional view on population. With the establishment of a responsible production system in the rural areas, measures for economic restriction and reward should be taken. In addition, late marriages should be enouraged, and a new tax system based upon population count in each household should be adopted so that additional revenues may be collect for educational and other expenses, and social insurance for old people should be expanded. If all these measures are taken successfully, the problem of second births outside the plan can be solved.     

The cost of children: May the collective approach to household behavior help?

The collective approach to household consumption behavior tries to infer from variables supposed to affect the general bargaining position of household members information on the allocation of consumptions goods and tasks among them. This paper investigates the extension of previous work to the case where children may be considered as a public consumption good by the two adult members of a household. The main question being asked is whether it is possible to retrieve from the aggregate consumption behaviour of the household and the relative earnings of the parents information on the allocation of goods between them and children. This alternative approach to the estimation of the ‘cost of children’ is contrasted with the conventional approach based on a ‘unitary’ representation of and demographic separability assumptions on household consumption behaviour. Received: 29 August 1997/Accepted: 26 November 1998     

The empowerment of women,fertility, and child mortality: Towards a theoretical analysis

This paper examines one avenue through which female autonomy impinges on fertility and child mortality in developing countries. A simple model is set out in which couples are motivated to have children for old age security purposes. The decisions of a couple regarding fertility and allocation of resources for the healthcare of their children are made within a bargaining framework. An increase in female autonomy translating into an increase in the relative bargaining power or the threat point utility of mothers is shown to reduce fertility and also to reduce child mortality rates. Paradoxically, the increase in female autonomy within a household may increase the disadvantage suffered by female children in that household with respect to survival. Received: 4 August 1999/Accepted: 7 September 2000     

Work-Family Conflict and Working Conditions in Western Europe

This article explores the influence of working conditions on work-family conflict (WFC) among married/cohabiting employees across seven European countries. Using data from the European Social Survey, the paper first investigates the role of working conditions relative to household level characteristics in mediating work-family conflict at the individual level. It then considers whether perceived conflict is lower in countries with coordinated production regimes and where social policy is more supportive of combining paid work and care demands. For men the lowest rates of WFC occurred in Denmark, Sweden and Norway, so for men there was a distinct ‘Nordic’ effect consistent with the welfare and production regime expectations. For women, we find paradoxically that ‘raw’ levels of work-family conflict are particularly high in France, Denmark and Sweden where supports for reconciling work and family life are high. Our models show that the high conflict among French women can be explained by household composition factors and so is due to higher levels of family pressures. Higher levels of conflict among Danish and Swedish women appear to be associated with their longer hours of work. Work conditions are found to play a larger role than family characteristics in accounting for work-family conflict, both in the country level models and in the pooled models. While this partly reflects our focus on the spillover of work into family life, it is notable that family characteristics have little effect in mediating work pressures. The results suggest that a policy emphasis on improving work conditions is likely to have major leverage in reducing work-family conflict.

The decisions of Spanish youth: A cross-section study

This paper presents a simultaneous model for the joint decisions of working, studying and leaving the parental household by young people in Spain. Using cross-section data from the 1990–1991 Encuesta de Presupuestos Familiares, the model is estimated by a two stage estimation method. Endogeneity of the three decisions proves to be important in order to understand the dynamics of household formation. Our results also confirm a number of plausible intuitions about the effect of individual characteristics and economic variables on these decisions, and provide some new insights into the reasons for young people in Spain remaining in large numbers in the parental home. Most of the results are gender independent. Received: 18 September 1998/Accepted: 24 October 2000     

The effect of an additional birth on low-income urban families

Abstract The effects of the birth of an additional child to families living in poverty areas of New York City are studied in this paper. Surveys conducted by the National Opinion Research Center in 1965 and 1967 provided the data in a panel of parous or married women of childbearing age. Control ling for the number of children in the family in 1965, the non-occurrence of an additional birth in the following two years was found to have a significant effect on current income, savings, reliance on public assistance, general ability to plan and organize one's household, and wife's employment. No significant effects were found with respect to possession of consumer durables or attending a school or training course. While many claims have been made about the beneficial effects of family planning on family welfare, this study is among a very small number where such effects are empirically documented.     

The sectoral labor supply of married couples in Brazil: Testing the unitary model of household behavior

An assumption of the unitary model of household decision-making is that household members maximize one household utility function. This assumption implies that households pool their income and, therefore, the ownership of nonwage income has no effect on household demand. In this paper, this implication is tested by estimating multi-sector labor supply equations for men and women in Brazil. The results indicate that the unitary model is rejected in the informal and self-employment sectors for men and the formal and informal sectors for women; in these cases own nonwage income has a significantly negative effect on labor supply while spousal nonwage income has no significant effect. Received: 29 December 1997/Accepted: 9 December 1998     

Different Reasons,Different Results: Implications of Migration by Gender and Family Status

Previous research on migration and gendered career outcomes centers on couples and rarely examines the reason for the move. The implicit assumption is usually that households migrate in response to job opportunities. Based on a two-year panel from the Current Population Survey, this article uses stated reasons for geographic mobility to compare earnings outcomes among job migrants, family migrants, and quality-of-life migrants by gender and family status. We further assess the impact of migration on couples’ internal household economy. The effects of job-related moves that we find are reduced substantially in the fixed-effects models, indicating strong selection effects. Married women who moved for family reasons experience significant and substantial earnings declines. Consistent with conventional models of migration, we find that household earnings and income and gender specialization increase following job migration. Married women who are secondary earners have increased odds of reducing their labor supply following migration for job or family reasons. However, we also find that migrating women who contributed as equals to the household economy before the move are no more likely than nonmigrant women to exit work or to work part-time. Equal breadwinner status may protect women from becoming tied movers.     

Immigrant earnings: Language skills, linguistic concentrations and the business cycle

This study of the determinants of earnings among adult foreign-born men using the 1990 Census of Population focuses on the effects of the respondent's own English language skills, the effects of living in a linguistic concentration area, and the effects of the stage of the business cycle at entry into the U.S. labor market. The analysis demonstrates the importance of English language fluency among the foreign born from non-English speaking countries. There is also strong evidence for the complementarity between language skills and other forms of human capital. Furthermore, there is strong evidence using selectivity correction techniques for the endogeneity between language and earnings. Received: 30 November 1999/Accepted: 6 February 2001     

Running hard and falling behind: a welfare analysis of two-earner families

This paper investigates the commonly asserted proposition that long term economic changes have put the family in a financial bind. Structural parameters of a family utility model are obtained by estimating simultaneous labor supply functions for a two-earner household. We find evidence indicating that the average 1990‘s two-earner family would prefer to receive the 1980‘s real wage package (were it available) instead of the real wage package it actually faces. The degree to which the 1990‘s family is worse off (in terms of the changes in the real wage package) is roughly equivalent to an hour of leisure per week. Received September 25, 1995 / Accepted February 5, 1997     

Banking on fewer children: financial intermediation,fertility and economic development

This paper shows that financial intermediation can influence fertility and labor allocation decisions by raising market wages. The increase in wages induces some households to abandon “traditional” labor intensive methods of production managed at the household level and supply labor to “modern” sector firms. Since it is optimal for households in the modern sector to have fewer children, the labor allocation decision leads to lower national fertility. A panel VAR using financial intermediation, fertility and industrial employment share data in 87 countries is estimated. The empirical results show that the data are consistent with the theoretical predictions. Received: 20 October 1997/Accepted: 31 August 1998     

Household production in a collective model: some new results

Household models estimated on labour supplies alone generally assume non-market time to be pure leisure. Previous work on collective household decision-making is extended here by taking domestic work into account in the Chiappori et al. (J Polit Econ 110(1):37–72, 2002) model. Derivatives of the household “sharing rule” can then be estimated in a similar way. Using the 1998 French Time-Use Survey, we compare estimates of labour supply functions assuming first that non-market time is pure leisure and then taking household production into account. The results are similar but more robust when household production is included. Collective rationality is rejected when domestic work is omitted.     

One or two parents? Half or step siblings? The effect of family structure on young children's achievement

Do children who live with both biological parents fare better than children in other types of family structures? Does the presence of step or half-siblings affect child well-being? This study examines the effect of family structure on young children's achievement addressing two sources of potential bias: (1) misclassification of blended families and (2) the omission of within-family and individual time-invariant unobserved characteristics. The results show that family structure, when defined using traditional classifications, has little effect on young children's achievement test scores. When the definition of family type is expanded, living in a blended family and living in some types of single mother families, appears to have a small, unfavorable relationship with children's achievement.     

The effect of child care and part time opportunities on participation and fertility decisions in Italy

Economic models of household behavior typically yield the prediction that increases in schooling levels and wage rates of married women lead to increases in their labor supply and reductions in fertility. In Italy, low labor market participation rates of married women are observed together with low birth rates. Our explanation involves the Italian institutional structure, particularly as reflected in rigidities and imperfections in the labor market and characteristics of the publicly-funded child care system. These rigidities tend to simultaneously increase the costs of having children and to discourage the labor market participation of married women. We analyze a model of labor supply and fertility, using panel data. The empirical results show that the availability of child care and part time work increase both the probability of working and having a child. Received: 14 February 2000/Accepted: 20 February 2001