An Examination of Factors Affecting Perception of Workplace Discrimination

This study investigates perceptions of workplace discrimination among racial minorities in Canada. Specifically, the study examines how objective experiences of disadvantage and expectations for equity influence racial minorities’ perceptions of discrimination. The results indicate that while both of these factors affect perceptions of discrimination, expectations for equity may be especially important. Although new immigrants are among the most disadvantaged groups in the Canadian labor market, they are less likely to perceive discrimination than longer term immigrants, who may have higher expectations for equitable treatment. Education also increases the perception of discrimination among immigrants, perhaps due to the higher expectations of educated immigrants. Lastly, objective income inequity is not found to be related to perceived discrimination.

EXPANSIONARY AUSTERITY? INTERNATIONAL EVIDENCE

This paper investigates the short‐term effects of fiscal consolidation on economic activity in OECD economies. We examine contemporaneous policy documents to identify changes in fiscal policy motivated by a desire to reduce the budget deficit and not by responding to prospective economic conditions. Using this new dataset, our estimates suggest that fiscal consolidation has contractionary effects on private demand and GDP. By contrast, estimates based on conventional measures of the fiscal policy stance used in the literature support the expansionary fiscal contractions hypothesis but appear to be biased toward overstating expansionary effects.     

Unionization and Income Growth of Racial Minority Immigrants in Canada: A Longitudinal Study

This study examines the effect of unionization on the labor market integration of newly arrived immigrants in Canada. We find that non‐white recent immigrants gain access to unionized jobs at a slower rate than do white recent immigrants. The effect of unionization on earnings is somewhat lower for non‐white recent immigrants than for white recent immigrants. These findings are based on growth curve modeling of longitudinal data from the Survey of Labour and Income Dynamics (SLID). Therefore, unionization does not contribute to reducing the earnings gap of non‐white recent immigrants relative to white immigrants and the native‐born.     

Race,Religion, and the Social Integration of New Immigrant Minorities in Canada1

The social integration of Canada’s new religious minorities is determined more by their racial minority status than by their religious affiliation or degree of religiosity, according to results from Statistics Canada’s 2002 Ethnic Diversity Survey. Interview questions tap life satisfaction, affective ties to Canada, and participation in the wider community. Muslims, Sikhs, Buddhists, and Hindus are slower to integrate socially, mainly because they are mostly racial minorities. Degree of religiosity affects social integration in the same ways as ethnic community attachments in general, positively for some dimensions, negatively for others, and similarly for different religious groups. Patterns are similar in Quebec and the rest of Canada; results carry implications for the debate over “reasonable accommodation” of religious minorities in Quebec, and parallel debates in other provinces and countries.     

Is Agency Skin Deep? Surface Attributes Influence Infants' Sensitivity to Goal‐Directed Action

Three studies investigated the role of surface attributes in infants' identification of agents, using a habituation paradigm designed to tap infants' interpretation of grasping as goal directed (Woodward, 1998). When they viewed a bare human hand grasping objects, 7‐ and 12‐month‐old infants focused on the relation between the hand and its goal. When the surface properties of the hand were obscured by a glove, however, neither 7‐ nor 12‐month‐old infants represented its actions as goal directed (Study 1). Next, infants were shown that the gloved hands were part of a person either prior to (Study 2) or during (Study 3) the habituation procedure. Infants who actively monitored the gloved person in Study 2 and older infants in Study 3 interpreted the gloved reaches as goal directed. Thus, varying the extent to which an entity is identifiable as a person impacts infants' interpretation of the entity as an agent.     

COMMODITY PRICES AND BANK LENDING

We analyze the transmission of changes in commodity prices to bank lending in a large sample of developing countries. A bank-level analysis shows that a fall in commodity net export prices is associated with a reduction of bank lending, particularly for commodity exporters and during episodes of terms-of-trade decline. We complement this analysis with loan-level data from a credit register, which allows us to identify the effect of a commodity price shock on the supply of credit, controlling for unobserved factors that could drive borrowers' credit demand. Results show that banks with relatively lower deposits and poor asset quality transmit the changes in commodity prices to lending more aggressively. (JEL F30, F34, G21, Q02)     

What underlies the recent growth comeback in developing economies?

We find that the frequency of growth takeoffs in developing economies has risen markedly in the past two decades, with recent takeoffs lasting longer than those prior to the 1990s. Also, unlike takeoffs prior to the 1990s, developing economies in recent takeoffs experienced an improvement in economic policies, with lower post-takeoff debt and inflation; more competitive real exchange rates; and stronger structural reforms and institutions. These conditions have tended to be associated in the literature as conducive to sustaining strong growth. We also find that the chances of starting a takeoff in the 2000s was triple that before the 1990s, with domestic conditions accounting for most of the increase. Thus, if developing economies improve their economic policies and sustain them forward, they are more likely to jumpstart takeoffs and avoid the reversals in economic fortunes that affected many developing economies in the past.     

Decreasing the Recent Immigrant Earnings Gap: The Impact of Canadian Credential Attainment

It is well documented that newly arrived immigrants face a significant earnings gap relative to native‐born workers. One way for new immigrants to improve their relative labour market position upon arrival in a host country is to improve their educational credentials. According to signalling theory, a host‐country credential should provide employers with a proxy for true productivity on the job, leading to higher earnings. Using data from a Canadian longitudinal survey, we employ longitudinal growth‐curve techniques to estimate the effect of receiving a Canadian educational credential on the income growth of racial‐minority recent immigrants compared to native‐born Canadians. The results indicate that the earnings gap between recent immigrants and native‐born Canadians is significantly reduced with the attainment of a Canadian educational credential.     

Private Provision of Infrastructure in Emerging Markets: Do Institutions Matter?

Governments in developing countries have encouraged private sector investment to meet the growing demand for infrastructure. According to institutional theory, the role of institutions is paramount in private sector development. A longitudinal dataset of 40 developing economies between 1990 and 2000 is used to test empirically how different institutional structures affect private investment in infrastructure, in particular its volume and frequency. The results indicate that property rights and bureaucratic quality play a significant role in promoting private infrastructure investment. Interestingly, they also suggest that countries with higher levels of corruption attract greater private participation in infrastructure.