We introduce search unemployment à la Pissarides into Melitz’ (2003) model of trade with heterogeneous firms. We allow wages to be individually or collectively bargained and analytically solve for the equilibrium. We find that the selection effect of trade influences labor market outcomes....

This paper addresses the question to which extent the complementarity between educationand training can be attributed to differences in observable characteristics, i.e. to individual,job and firm specific characteristics. The novelty of this paper is to analyze previouslyunconsidered...

Using two Dutch labour force surveys, employment assimilation of immigrants is examined. We observe marked differences between immigrants by source country. Non-western immigrants never reach parity with native Dutch. Even second generation immigrants never fully catch up...

In this paper we investigate two stages in the process that leads to participation in ALMP programs. We use unique administrative data from the Austrian unemployment registers which allow us to distinguish between caseworker assignment and actual program enrollment. Although 25% of newly...

We investigate the positive and normative consequences of child-labor restrictions foreconomic aggregates and welfare. We argue that even though the laissez-faire outcome maybe inefficient, there are usually better policies to cure these inefficiencies than the impositionof a child-labor ban...

Econometric evaluations of public-sponsored training programmes generally find littleevidence of an impact of such policies on transition rates out of unemployment. We performthe first evaluation of training effects for the unemployed adults in France, exploiting a uniquelongitudinal dataset...

This note investigates the effects of the education level, product market rigidities andemployment protection legislation on growth. It exploits macro-panel data for OECDcountries...

Using data from 12 European countries and the variation across countries and over time inthe changes of minimum school leaving age, we study the effects of the quantity of educationon the distribution of earnings...

We compare the returns to education (RTE) for entrepreneurs and employees, based on 19waves of the NLSY database. By using instrumental variable techniques (IV) and takingaccount of selectivity, we find that the RTE are significantly higher for entrepreneurs than foremployees (18.3 percent and...

This paper examines the incidence and wage effects of over-skilling within the Australianlabour market. It finds that approximately 30 percent of employees believed themselves to bemoderately over-skilled and 11 percent believed themselves to be severely over-skilled. Theincidence of skills...