Summary We analyze the relationship between early-career unemployment and prime-age earnings with German administrative linked employer-employee data. The careers of more than 720,000 male apprenticeship graduates from the cohorts of 1978 to 1980 are followed over 24 years. On average,...

Abstract This paper provides novel evidence on the time varying impact of government spending shocks on output in Germany over the years 1970 to 2013. In a first step, I use an expectations-augmented vector autoregressive model with time varying parameters (TVP-VAR) to show that fiscal...

Purpose – This paper seeks to explore whether temporary jobs are a port of entry into permanent employment and to argue that the answer crucially depends on the type of temporary contracts being considered. Design/methodology/approach – The paper bases its empirical evidence on a...

Abstract This paper analyzes the effects of human capital on welfare dynamics in Canada using data from the Self-Sufficiency Project (SSP). SSP offered a time-limited earnings supplement to a randomly assigned group of new welfare applicants who remained on welfare for one year and, in the...

Abstract This article studies the treatment effect models in which individuals are classified into unobserved groups based on heterogeneous treatment rules. By using a finite mixture approach, we propose a marginal treatment effect (MTE) framework in which the treatment choice and outcome...

In this paper, we examine the application of SFA method with time-invariant inefficiency and assess its estimation of inefficiency when applied to cross section and panel data. By using simulation methods, we look at the effect of unobserved heterogeneity on the estimates of inefficiency in both...

Purpose The purpose of this paper is to examine the extent to which individual characteristics are related to the decision to become a public sector employee using twin study data matched with register-based, individual-level panel data for the 1991-2009 period. Design/methodology/approach The...

Purpose Part I of this article ( European Business Review , Volume 28, Issue 1) offered an overview of unobserved heterogeneity in the context of partial least squares structural equation modeling (PLS-SEM), its prevalence and challenges for social sciences researchers. This paper aims to...

Purpose The purpose of this paper is to examine the existence of unobserved heterogeneity in the critical drivers of firms’ international expansion. Testing for unobserved heterogeneity assists researchers to come up with precise interpretations and valid conclusions....

Purpose Financial theory suggests that with increasing labor income risk, the reluctance of households to hold stocks increases. Therefore, this paper aims to investigate the determinants of a household’s decision on whether to invest in risky financial assets. Design/methodology/approach...