This DPhil thesis is a collection of three theoretical and empirical papers studying labor markets in several advanced economies. Two chapters examine the relationship between the banking sector and the labor market in the US and the UK, while one evaluates a policy that has been proposed to help labor markets in the Euro Area adjust to economic shocks. In the first chapter, I develop a New Keynesian DSGE model that integrates a banking sector subject to moral hazard with a standard random search model of the labor market. I estimate the model using US data and study the role of the banking sector in determining labor market fluctuations. In the second chapter, I estimate a structural VAR model of the UK and US economies and identify bank lending shocks using a mix of sign and short-run exclusion restrictions. Consistent with the predictions of the DSGE model, an expansionary loan supply shock decreases job-destruction and increases job-creation, reducing the unemployment rate persistently. Bank lending shocks are also important drivers of labor market fluctuations, particularly during the Great Recession. Lastly, in the third chapter, I calibrate to the Euro Area a currency union DSGE model to evaluate the aggregate properties of European Unemployment Insurance (EUI). I find that EUI cannot contemporaneously stabilize the monetary union and achieve convergence in regional unemployment and inflation rates.

Drawing on information from the Encuesta de la Transición de la Escuela al Trabajo 2012 (Survey on the Transition from School to Work), this study analyzes the characteristics of young people who are not in education, employment or training (NEETs). We find that, overall, 17.94% of Peruvian urban youth between 15 and 29 years of age are NEETs. Of these, around three quar- ters (74.09%) are females, which points toward the presence of factors associated with gender, such as fertility, the role within the household economy, or educational reasons, such as the explanatory variables in the previous result.Accordingly, the likelihood of being a NEET increases for females if there are children in the house- hold and if the individual has a partner, while the reverse is true in the case of males. Moreover, the likelihood of belonging to the NEET group increases when there are young men in the household; decreases when they are heads of household; if there is production in the household; or if the part- ner is engaged in domestic work. As regards individual decisions, young people’s life goals affect the likelihood of being a NEET. Moreover, the higher the level of education, the lower the likelihood of being a NEET due to the greater opportunity cost associated with better earning prospects. / Utilizando la información de la Encuesta de la Transición de la Escuela al Trabajo 2012, este estudio analiza las características de los jóvenes que no estudian, no trabajan ni se encuentran en entrenamiento laboral (NEET por sus siglas en inglés). Encontramos que, en general, el 17,94% de los jóvenes urbanos peruanos entre 15 y 29 años son NEET. De estos, casi tres cuartas partes son mujeres (74,09%), lo que sugiere la existencia de factores asociados al género, tales la como fertilidad, el rol dentro de la economía del hogar, o razones educativas, como las variables explicativas del anterior resultado.En este sentido, la probabilidad de ser NEET aumenta para las mujeres si es que hay hijos en el hogar y si se tiene pareja, teniendo el efecto opuesto en el caso de los varones. Asimismo, la pro- babilidad de pertenecer al grupo NEET aumenta si hay jóvenes varones en el hogar; disminuye si es que estos son jefes de hogar, si hay producción en el hogar o si la pareja se dedica a actividades domésticas. Por el lado de las decisiones individuales, las metas en la vida de los jóvenes afectan la probabilidad de ser NEET. Igualmente, a mayor nivel educativo, menor probabilidad de NEET por el mayor costo de oportunidad asociado al mayor posible ingreso laboral.

Submitted by Raphael dos Santos (rdsantos@id.uff.br) on 2017-07-06T19:46:24Z No. of bitstreams: 1 Dissertacao_Raphael_bib.pdf: 728939 bytes, checksum: 3e338c45a911c473f53ccef8dece975b (MD5) / Approved for entry into archive by Marcia Bacha (marcia.bacha@fgv.br) on 2017-07-06T20:13:10Z (GMT) No. of bitstreams: 1 Dissertacao_Raphael_bib.pdf: 728939 bytes, checksum: 3e338c45a911c473f53ccef8dece975b (MD5) / Made available in DSpace on 2017-07-06T20:13:37Z (GMT). No. of bitstreams: 1 Dissertacao_Raphael_bib.pdf: 728939 bytes, checksum: 3e338c45a911c473f53ccef8dece975b (MD5) Previous issue date: 2017-03-30 / This paper investigates possible effects of maternity leave extension from 120 to 180 days in Brazil on labor market participation of mothers. In order to do so, we explore changes in leave taking rules between January 2007 and December 2009 affecting public sector workers in a RD design. Using administrative data we are able to measure maternal employment outcomes. Results suggests there was no impact of extension on maternal employment one year after leave or at the time of the child's school enrollment. However eligibility for maternity leave extension increase maternal employment by 2 percentage points on maternal employment one year after childbirth for high income mothers. Preliminary findings indicate indicate no effect of leave extension on school enrollment by age 6.

O presente trabalho procura avaliar a migração sob três prismas distintos. O primeiro ensaio faz uma breve revisão da literatura empírica sobre migração no Brasil, seguida de uma análise descritiva das características e condições econômicas dos migrantes no Brasil, evidenciando que as hipóteses do acúmulo de capital humano e o desenvolvimento de habilidades, para o aumento do rendimento esperado, e preferência por melhores conjuntos de amenidades explicam os fluxos migratórios interestaduais brasileiros. Avalia-se em seguida as séries das principais variáveis de desempenho econômico para os migrantes, como desemprego, renda, escolaridade e do índice de Gini de renda e escolaridade, de forma a caracterizar as tendências migratórias e como estas tendências podem ser descritas e analisadas. O segundo ensaio apresenta uma avaliação empírica dos determinantes dos fluxos migratórios brasileiros pelos cortes temporais de 2003, 2006, 2009 e 2012, com base nos dados da PNAD/IBGE, avaliando-os por quatro modelos distintos. O primeiro deles é um modelo gravitacional simples, que não contabiliza os efeitos dos diferenciais de renda; o segundo, um modelo gravitacional expandido, que contabiliza os diferenciais de renda, mas não para a diversidade do trabalho; o terceiro é o modelo centro-periferia, que contabiliza ambos; o último é um modelo que não contabiliza diferenciais de renda, mas contabiliza variáveis institucionais e climáticas. Encontra-se que o principal determinante dos fluxos ainda são os diferenciais de renda, assim como a estrutura das aglomerações regionais. O terceiro ensaio se dedica a avaliação do impacto dos migrantes na determinação da renda regional, em virtude de sua qualicação e da diversidade dos locais de origem desta população. Após uma breve revisão teórica, são apresentados os modelos caracteristicamente utilizados na análise de impacto econômico dos migrantes, e procedida da avaliação empírica destes modelos. Posteriormente, são discutidos os resultados das regressões, que sugerem que os migrantes possuem impactos positivos mais significativos como característica populacional do que variáveis importantes, como a fracionalização étnica e de gênero, na determinação da renda e do crescimento regional. / This study evaluates the migration under three different prisms. The first essay is a brief review of the empirical literature on migration in Brazil, followed by a descriptive analysis of the characteristics and economic conditions of migrants in Brazil, showing that the chances of accumulation of human capital and skills development, to increase the yield expected, and preference for best sets of amenities explain the Brazilian interstate migration ows. It is estimated then the series of the main variables of economic performance for migrants, such as unemployment, income, education and the Gini index of income and education, in order to characterize migration and how these trends can be described and analyzed trends. The second paper presents an empirical evaluation of the determinants of Brazilian migration by temporal cuts of 2003, 2006, 2009 and 2012, based on PNAD / IBGE, evaluating them for four distinct models. The first is a simple gravity model, it does not account for the effects of income differentials; the second, an expanded gravity model that accounts for income differentials, but not for the diversity of work; the third is the center-periphery model, which accounts for both; the latter is a model that does not account for income differentials, but accounts for institutional and climatic variables. It is found that the main determinant of the ows are still income differentials, as well as the structure of regional aglomerções. The third essay is dedicated to assessing the impact of migrants on regional income determination, by virtue of their qualifications and diversity of places of origin of this population. After a brief literature review, models characteristically used in the analysis of economic impact of migrants are presented, and proceed as empirical evaluation of these models. Subsequently, we discuss the results of the regressions, suggesting that migrants have the most significant positive impacts such as population characteristic that important variables such as ethnic fractionalization and gender in determining income and regional growth.

abstract: Firms reduce investment when facing downward wage rigidity (DWR), the inability or unwillingness to adjust wages downward. I construct DWR measures and exploit staggered state-level changes in minimum wage laws as an exogenous variation in DWR to document this fact. Following a minimum wage increase, firms reduce their investment rate by 1.17 percentage points. Surprisingly, this labor market friction enhances firm value and production efficiency when firms are subject to other frictions causing overinvestment, consistent with the theory of second best. Finally, I identify increased operating leverage and aggravation of debt overhang as mechanisms by which DWR impedes investment. / Dissertation/Thesis / Doctoral Dissertation Business Administration 2017

abstract: This dissertation comprises three chapters. In chapter one, using a rich dataset for the United States, I estimate a series of models to document the birth order effects on cognitive outcomes, non-cognitive outcomes, and parental investments. I estimate a model that allows for heterogeneous birth order effects by unobservables to examine how birth order effects varies across households. I find that first-born children score 0.2 of a standard deviation higher on cognitive and non-cognitive outcomes than their later-born siblings. They also receive 10\% more in parental time, which accounts for more than half of the differences in outcomes. I document that birth order effects vary between 0.1 and 0.4 of a standard deviation across households with the effects being smaller in households with certain characteristics such as a high income. In chapter two, I build a model of intra-household resource allocation that endogenously generates the decreasing birth order effects in household income with the aim of using the model for counterfactual policy experiments. The model has a life-cycle framework in which a household with two children confronts a sequence of time constraints and a lifetime monetary constraint, and divides the available time and monetary resources between consumption and investment. The counterfactual experiment shows that an annual income transfer of 10,000 USD to low-income households decreases the birth order effects on cognitive and non-cognitive skills by one-sixth, which is five times bigger than the effect in high-income household. In chapter three, with Francesco Agostinelli and Matthew Wiswall, we examine the relative importance of investments at home and at school during an important transition for many children, entering formal schooling at kindergarten. Moreover, our framework allows for complementarities between children's skills and investments from schools. We find that investments from schools are an important determinant of children's skills at the end of kindergarten, whereas parental investments, although strongly correlated with end-of-kindergarten outcomes, have smaller effects. In addition, we document a negative complementarity between children's skills at kindergarten entry and investments from schools, implying that low-skill children benefit the most from an increase in the quality of schools. / Dissertation/Thesis / Doctoral Dissertation Economics 2018

This paper examines whether racial salary discrimination exists in the National Hockey League (NHL). I examine data from Hockey Reference and CapFriendly and find some evidence of racial salary discrimination, controlling for a rich set of demographic and performance characteristics. Specifically, when I solely control for race, I do not find any racial wage gap. This gap exists when I control for race and limited place of birth groups, however, the effect is wiped out by performance controls. When controlling for race and detailed place of birth groups, I find some evidence of a race gap even when controls for performance are included. Lastly, I discover that whites from all countries excluding the USA earn more than whites from the USA.

Many studies have found an increase in the percentage of workers working 50 or more weekly hours in the second half of the 20thcentury; however, few studies extend this analysis into the 21stcentury, and few have analyzed these patterns for women in depth. This paper provides an analysis of long work hours for men and women from 1979 to 2017. I investigate how workers who differ in education level, presence and age of children, salary type, and occupation gender-mix classification (for managerial/professional occupations), differ in their likelihood to work long hours. Using a linear probability model, I determine that those most likely to overwork include highly educated men and women, men with children, women without children, salaried workers, and workers in historically male-dominated managerial/professional occupations. Finally, using a Oaxaca decomposition, I find that changes in observable characteristics can account for between 52.28% and 72.62% of the 2 percentage point decrease in long work hours seen for men between the 2000-2002 time period and the 2015-2017 time period.

O presente trabalho procura avaliar a migração sob três prismas distintos. O primeiro ensaio faz uma breve revisão da literatura empírica sobre migração no Brasil, seguida de uma análise descritiva das características e condições econômicas dos migrantes no Brasil, evidenciando que as hipóteses do acúmulo de capital humano e o desenvolvimento de habilidades, para o aumento do rendimento esperado, e preferência por melhores conjuntos de amenidades explicam os fluxos migratórios interestaduais brasileiros. Avalia-se em seguida as séries das principais variáveis de desempenho econômico para os migrantes, como desemprego, renda, escolaridade e do índice de Gini de renda e escolaridade, de forma a caracterizar as tendências migratórias e como estas tendências podem ser descritas e analisadas. O segundo ensaio apresenta uma avaliação empírica dos determinantes dos fluxos migratórios brasileiros pelos cortes temporais de 2003, 2006, 2009 e 2012, com base nos dados da PNAD/IBGE, avaliando-os por quatro modelos distintos. O primeiro deles é um modelo gravitacional simples, que não contabiliza os efeitos dos diferenciais de renda; o segundo, um modelo gravitacional expandido, que contabiliza os diferenciais de renda, mas não para a diversidade do trabalho; o terceiro é o modelo centro-periferia, que contabiliza ambos; o último é um modelo que não contabiliza diferenciais de renda, mas contabiliza variáveis institucionais e climáticas. Encontra-se que o principal determinante dos fluxos ainda são os diferenciais de renda, assim como a estrutura das aglomerações regionais. O terceiro ensaio se dedica a avaliação do impacto dos migrantes na determinação da renda regional, em virtude de sua qualicação e da diversidade dos locais de origem desta população. Após uma breve revisão teórica, são apresentados os modelos caracteristicamente utilizados na análise de impacto econômico dos migrantes, e procedida da avaliação empírica destes modelos. Posteriormente, são discutidos os resultados das regressões, que sugerem que os migrantes possuem impactos positivos mais significativos como característica populacional do que variáveis importantes, como a fracionalização étnica e de gênero, na determinação da renda e do crescimento regional. / This study evaluates the migration under three different prisms. The first essay is a brief review of the empirical literature on migration in Brazil, followed by a descriptive analysis of the characteristics and economic conditions of migrants in Brazil, showing that the chances of accumulation of human capital and skills development, to increase the yield expected, and preference for best sets of amenities explain the Brazilian interstate migration ows. It is estimated then the series of the main variables of economic performance for migrants, such as unemployment, income, education and the Gini index of income and education, in order to characterize migration and how these trends can be described and analyzed trends. The second paper presents an empirical evaluation of the determinants of Brazilian migration by temporal cuts of 2003, 2006, 2009 and 2012, based on PNAD / IBGE, evaluating them for four distinct models. The first is a simple gravity model, it does not account for the effects of income differentials; the second, an expanded gravity model that accounts for income differentials, but not for the diversity of work; the third is the center-periphery model, which accounts for both; the latter is a model that does not account for income differentials, but accounts for institutional and climatic variables. It is found that the main determinant of the ows are still income differentials, as well as the structure of regional aglomerções. The third essay is dedicated to assessing the impact of migrants on regional income determination, by virtue of their qualifications and diversity of places of origin of this population. After a brief literature review, models characteristically used in the analysis of economic impact of migrants are presented, and proceed as empirical evaluation of these models. Subsequently, we discuss the results of the regressions, suggesting that migrants have the most significant positive impacts such as population characteristic that important variables such as ethnic fractionalization and gender in determining income and regional growth.

abstract: This dissertation consists of two parts. The first part is about understanding the mechanism behind female labor supply movement over economic development. Female labor force participation follows a U-shape pattern over per capita GDP cross nationally as well as within some countries. This paper questions if this pattern can be explained through sectoral, uneven technological movements both at market and at home. For that I develop a general equilibrium model with married couples and home production. I defined multiple sectors both at home and in the market. And by feeding the model with uneven technological growth, I observe how participation rate moves over development. My results indicate that a decrease in labor supply is mainly due to structural transformation. Meaning, a higher technology in a large sector causes prices to go up in that sector relative to other. Hence, labor allocated to this sector will decrease. Assuming this sector has a big market share, it will decrease the labor supply. Also, I found that the increase in female labor supply is mostly because of movement from home to market as a result of a higher technological growth in the market. The second part is about developing a methodology to verify and compute the existence of recursive equilibrium in dynamic economies with capital accumulation and elastic labor supply. The method I develop stems from the multi-step monotone mapping methodology which is based on monotone operators and solving a fixed point problem at each step. The methodology is not only useful for verifying and computing the recursive competitive equilibrium, but also useful for obtaining intra- and inter-temporal comparative dynamics. I provide robust intra-temporal comparative statics about how consumption and leisure decisions change in response to changes in capital stock and inverse marginal utility of consumption. I also provide inter-temporal equilibrium comparative dynamics about how recursive equilibrium consumption and investment respond to changes in discount factor and production externality. Different from intra-temporal comparative statics, these are not robust as they only apply to a subclass of equilibrium where investment level is monotone. / Dissertation/Thesis / Doctoral Dissertation Economics 2018