Wage Employment


Original abstracts from the papers in the database are provided below. All abstracts are drawn directly from the papers referenced. Links to access the papers are provided, although
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  • The Impact of Mexico's Retraining Program on Employment and Wages

    Revenga, Riboud, and Tan (1994)

    Original abstract:

    This paper analyzes the impact and effectiveness of the Mexican Labor Retraining Program for Unemployed and Displaced Workers (PROBECAT). The strategy followed is to compare the post- training labor market experiences of trainees with those of a comparison group--a matched sample of unemployed individuals who were eligible for, but did not participate in, the PROBECAT program. The results of this exercise suggest that participation in PROBECAT reduced the mean duration of unemployment for both male and female trainees, and increased the monthly earnings of males, but not offemales. Theresultsalsoindicatethatthepost-training earnings effect varied systematically by level of schooling attainment, with the largest earnings increases (of about 28 to 37 percent) found for males with 6 to 12 years of education.

    Intervention settings: Urban

    Intervention description: Short-term vocational education training.

    Methodology: Cox proportional hazards model estimated on participants and matched nonparticipants (based on propensity score).

    Sample: Youth and adults. Offered to 250,000 registered unemployed people age 20-55, selected on basis of eligibility index.

    Findings: Program trainees found jobs more quickly. Impacts mainly for trainees older than 25 with work experience. Cost effective for women over 25, but not for younger women.

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  • Medium and Long Run Effects of Nutrition and Child Care: Evaluation of a Community Nursery Programme in Rural Colombia

    Attanasio and Vera-Hernandez (2004)

    Original abstract:

    In this paper we evaluate the effect of a large nutrition programme in rural Colombia on children nutritional status, school achievement and female labour supply. We find that the programme has very large and positive impacts. Dealing with the endogeneity of treatment is crucial, as the poorest children tend to select into the programme. Methods like Propensity Score Matching would even yield negative estimates of the impact of the program. Our results are robust to the use of instruments that do not depend on individual household choices. We also validate our evaluation strategy by considering the effect of the program on pre-intervention variables. Further, we explore the heterogeneity of the impact of the programme. Children from the poorest backgrounds are the ones that benefit the most.

    Intervention settings: Rural.

    Intervention description: Community nurseries where poor children receive food (purchased by government) and chid care from one of the mothers in the community.

    Methodology: Instrumental variables using distance to nearest center as an instrument.

    Sample: Poor households, based on an eligibility score.

    Findings: Increase in probability of women's employment (0.12 to 0.37) and hours worked (by 75/month.) Positive impact on children's height and grades.

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  • The Guatemala Community Day Care Program

    Ruel and Quisumbing (2006)

    Intervention settings:

    Intervention description: Parents select one mother to be day care provider for up to 10 children, enabling other mothers to work.

    Methodology: Matching.

    Sample: Guatemala City, with poverty-based eligibility criteria. Mothers had to work to qualify for the program.

    Findings: Increased mothers' incomes (30%) and improved children's diets. Largest impacts among women with lower education.

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  • Subsidizing Vocational Training for Disadvantaged Youth in Developing Countries: Evidence from a Randomized Trial

    Attanasio et al (2011)

    Original abstract:

    This paper evaluates the impact of a randomized training program for disadvantaged youth introduced in Colombia in 2005. This randomized trial offers a unique opportunity to examine the impact of training in developing countries. We use originally collected data on individuals randomly offered and not offered training. The program raises earnings and employment, especially for women. Women offered training earn 18% more and have a 0.05 higher probability of employment than those not offered training, mainly in formal sector jobs. Cost- benefit analysis of these results suggests that the program generates much larger net gains than those found in developed countries.

    Intervention settings: Urban

    Intervention description: Three months in-classroom training and three months of on-the-job training. Courses provided vocational skills in a diverse number of occupations (including taxi and bus drivers, office assistants, call center operators, medical assistants, textile operators, carpentry assistants, etc.) On-the-job training was provided by legally registered (formal sector) companies, via unpaid internships. Trainees received a daily stipend of $2.20 ($3 for women with children under 7).

    Methodology: RCT

    Sample: Unemployed young people placed in lowest two deciles of income distribution.

    Findings: 11% increase in likelihood to be in paid employment. Wage and salary earnings increase by 18%. Controlling for training institution fixed effects and pre-treatment characteristics: Female trainees' probability of paid employment 19-21 months after program increased by 5% relative to the control group. Women worked an average of 1.1 more days/month and 2.5 more hours/week than women in the control group and earned 18% more than women who didn't receive the training. Impact on total labor income not reported.

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  • Public Preschool and the Labor Supply of Arab Mothers: Evidence from a Natural Experiment

    Schlosser (2011)

    Original abstract:

    Low labor force participation among mothers in North Africa and the Middle East is often attributed to cultural factors independent of economic considerations. There is little evidence, however, to support or refute this view. In September 1999, the Israeli government introduced free public preschool for children aged 3 and 4. I use this policy change to estimate the effects of a reduction in child care costs on preschool enrollment, and Arab mothers' labor supply and fertility. I find that as a result of the intervention, preschool enrollment and mothers' labor supply both increased sharply. The increase in labor supply occurred mainly among more educated mothers. In spite of increasing labor force participation, the fertility of these mothers appears to have been unchanged in the short-run. There is no evidence of an effect on mothers in affected towns who did not have children of preschool age.

    Intervention settings: Peri-urban.

    Intervention description: Compulsory and Free Preschool Law (analyzing effect of law).

    Methodology: Difference-in-differences comparing 11 treated towns and 13 untreated towns.

    Sample: Program for all children, but preschools were first made available in poor areas. Sample consists mainly of Arab mothers.

    Findings: Increase in preschool enrollment, especially among children of educated mothers, and mother's labor supply.

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