Wednesday 25.3.2015 8.30-10.00 - Minimum wages, unions, bargaining 

Presentation:NEW
Lec_LE_Minimum wages, unions,bargaining_2015.pdf
Lec_LE_Inequality_2015.pdf
Lec_LE_Pay and Productivity_2015.pdf

Mandatory readings:

• Borjas: Labour Economics: Labour Demand, Chapter 3;
• Borjas: Labour Economics: Labour Unions, Chapter 10;
• Card D. and Krueger A. (1994) ‘Minimum Wages and Employment: A Case Study of the Fast Food Industry in New Jersey and Pennsylvania’, American Economic Review 84: 772–793.
• Optional:
• Neumark, David; Wascher, William (December 2000). "Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New Jersey and Pennsylvania: Comment". The American Economic Review 90 (5): 1362–96. doi:10.1257/aer.90.5.1362.
• Eriksson, T. and M. Pytlikova (2004): "Firm-level Consequences of Large Minimum Wage Increases in the Czech and Slovak Republics". Labour. Vol. 18, No.1, pp. 75-103.

Popular media and policy reports on Minimum Wages:

• The Economist: Minimum wages: the logical floor. Dec 14^th 2013: http://www.economist.com/news/leaders/21591593-moderate-minimum-wages-do-more-good-harm-they-should-be-set-technocrats-not
• IZA WOrld of labour on employment effects of minimum wages:
• Http://wol.iza.org/articles/employment-effects-of-minimum-wages

Wednesday 25.3.2015 10.30-12.00 - Income inequality (if time - Pay and productivity, efficiency wages, ownership)

Mandatory readings:

• Borjas: Labour Economics: The wage structure, Chapter 7;

Optional:

• Eriksson, T., Pytlikova, M. and F. Warzynski (2013): "Increased Sorting and Wage Inequality in the Czech Republic: New Evidence Using Linked Employer-Employee Dataset." Economics of Transition, Vol. 21, Issue 2, pp. 357-380. DOI: 10.1111/ecot.12014.
• Thomas Lemieux, Bentley MacLeod and Daniel Parent, (2009): “Performance Pay and Wage Inequality.” Quarterly Journal of Economics 124(1), February 2009, 1-49
• Card, D. and DiNardo, J. (2002). ‘Skill biased technological change and rising wage inequality: Some problems and puzzles’, Journal of Labor Economics, 20, pp. 733–783.
• John Van Reenen, Guy Michaels and Ashwini Natraj (2014): ” Has ICT Polarized Skill Demand? Evidence from Eleven Countries over 25 Years, Review of Economics and Statistics Vol. 96, No. 1, Pages 60-77
• Autor, D. & Wasserman, M. (2013) “Wayward Sons” http://www.thirdway.org/publications/662
• Bell, B. & Van Reenen, J. (2014) “Bankers’ pay and extreme wage inequality in the UK”, Economic Journal Volume 124, Issue 574, pages F1–F21, February 2014
• Journal of Economic Perspectives (2013) Special Issue on The Top 1% http://www.aeaweb.org/articles.php?doi=10.1257/jep.27.3
• Van Reenen, J. (2011) “Wage Inequality, Technology and Trade: 21stCentury evidence”, Labour Economics http://cep.lse.ac.uk/pubs/download/occasional/op028.pdf
• Popular media and policy reports on Income Inequality:
• IHNED dialog about inequality in the Czech Republic (in Czech):
• http://dialog.ihned.cz/machacek/c1-61661470-jaka-rizika-tkvi-v-rostoucich-nerovnostech-prijmu-bohatych-a-chudych
• Blog VOX by John Van Reenen on US income inequality.
• http://www.voxeu.org/article/inequality-and-us-election-elephant-room
• Aghion, P. et al (2013) “Investing for Prosperity: Report of the LSE Growth Commission” (2013) http://www2.lse.ac.uk/researchAndExpertise/units/growthCommission/documents/pdf/LSEGC-Report.pdf

If time - Pay and productivity, efficiency wages, ownership

Optional reading:

• Borjas: Labour Economics; chapter 11: Incentive Pay
• Lazear E. (2000), “Performance Pay and Productivity”, American Economic Review, Vol. 90
• Niederle, Muriel and Lise Vesterlund (2007), “Do Women Shy Away from Competition? Do Men Compete Too Much?”, Quarterly Journal of Economics 122(3): 1067- 1101.
• Card, David, Alexandre Mas, Enrico Moretti, and Emmanuel Saez (2012): “ Inequality at Work: The Effect of Peer Salaries on Job Satisfaction” American Economic Review, 102(6): 2981–3003
• Brown, J. (2011): “Quitters Never Win: The (Adverse) Incentive Effects of Competing with Superstars”, Journal of Political Economy 119(5).
• Eriksson, T. and M. Pytlikova (2011): “Foreign Ownership Wage Premia in Emerging Economies: Evidence from Czech Republic”, Economics of Transition, Vol. 19 (2), pp. 371-395.

Compulsory Readings:

• Borjas: Labour Economics; Chapter 9 Labor market discrimination.
• M. Bertrand and S. Mullainathan. (2004) “Are Emily and Greg More Employable than Lakisha and Jamal? A Field Experiment in Labor Market Discrimination,” AER 94 (Sept), pp. 991-1013.

Optional Readings:

• M. Bertrand. (2010) “New Perspectives on Gender,” Handbook of Labor Economics, vol. 4B, 1543-90.
• G. Becker (1957), The Economics of Discrimination, University of Chicago Press.
• D. Hamermesh and J. Biddle. (1994) "Beauty and the Labor Market," AER 84 (December).
• J. Altonji and R. Blank. (1999) “Race and Gender in the Labor Market.” In O.
• Ashenfelter and D. Card, eds., Handbook of Labor Economics, vol. 3C, 3143-259.
• Kevin Lang & Jee-Yeon K. Lehmann, 2012. "Racial Discrimination in the Labor Market: Theory and Empirics," Journal of Economic Literature, vol. 50(4), pp. 959-1006.
• M. Niederle and L. Vesterlund. (2007) “Do Women Shy Away from Competition? Do Men Compete to Much?” Quarterly Journal of Economics 122 (August), 1067-1101.

• Borjas: Labour Economics; Chapter 5 on compensating wage differentials

Optional readings:

• Krueger, Allan and David Schkade. (2008). Sorting in the Labor Market: Do Gregarious Workers Flock to Interactive Jobs?  The Journal of Human Resources Vol. 43, No4, Fall 2008.
• Cole, M. A., Elliott J. R., and J. K Lindley. (2009). Dirty Money: Is there a wage premium for working in a pollution intensive industry? Journal of Risk and Uncertainty 39 (October 2009), pp. 161-180.
• Daniel S. Hamermesh, 1999. "Changing Inequality in Markets for Workplace Amenities," The Quarterly Journal of Economics, MIT Press, vol. 114(4), pp. 1085-1123
• G. Duncan and B. Holmlund. (1983) "Was Adam Smith Right After All? Another Test of the Theory of Compensating Differentials" Journal of Labor Economics, vol. 1 , pp. 366-79.

• Borjas (5th edition; pp 407-412 on household production function;
• Get familiar with HBLE I, Chapter 4, pp. 273-302;

• 4_Hand_notes_Mincers_model.pdf
• Labor_Econ_Everywhere_5.pdf

• Introduction: Borjas (5th edition; pp 236-273 on human capital)
• George Psacharopoulos and Harry A. Patrinos: Returns to Investment in Education: A Further Update (find on web)
• The Production of Human Capital and the Life Cycle of Earnings: Variations on a Theme, Jacob Mincer, Journal of Labor Economics, Vol. 15, No. 1, Part 2: Essays in Honor of Yoram Ben-Porath (Jan., 1997), pp. S26-S47 (Jstor)
• Weiss, Andrew (1995). Human Capital vs. Signalling Explanations of Wages. Journal of Economic Perspectives 9(4), 133-154.[ link]

• Make sure you attend Research Seminar on Feb 11: “Labour Supply, Fertility and Childcare Decisions – a Structural Analysis of Fiscal Stimuli for Working Mothers” to be given by Jan Kabátek from the Tilburg University, The Netherlands.The paper is available here 

• Research based on Euromod tax-benefit model for EU countries (at CERGE-EI we develop the Czech segment) 

• *BORJAS George : Labor Economics 6^th ed; Chapter 8 Labor Mobility
• *Borjas, G. and K. Doran (2012): "The Collapse of the Soviet Union and the Productivity of American Mathematicians," Quarterly Journal of Economics, August 2012.
• *Parrotta, P., Pozzoli, D. and M Pytlikova (2014): Does Labour Diversity affect Firm Productivity? European Economic Review, Vol. 66, February 2014, Pages 144–179
• *Parrotta, P., Pozzoli, D. and M. Pytlikova (2014): "The Nexus between Labor Diversity and Firm's Innovation." Journal of Population Economics. Vol. 27, Issue 2, April 2014, pp 303-364.

• BORJAS George J.(2006): Native internal migration and the labor market impact of immigration. Journal of Human Resources, 41:2, 221-258
• Borjas G. J. (2003): The labor demand curve is downward sloping: re-examining the impact of immigration on the labor market, Quarterly Journal of Economics, vol. 118, pp. 1135–74.
• Card, D. E. (2001). Immigrant inflows, native outflows and the local labor market impacts of higher immigration, Journal of Labor Economics, vol. 19, pp. 22–64.
• Card, D. (2005): Is the new immigration really so bad? The Economic Journal, 115:507, 300-323.
• Alesina, A. and E. La Ferrara (2005): “Ethnic Diversity and Economic Performance” Journal of Economic Literature, XLII, pp 762-800.
• George J. BORJAS: “THE ECONOMIC ANALYSIS OF IMMIGRATION”, In: Handbook of Labor Economics, Volume 3, Edited by O. Ashenfelter and D. Card (1999); Chapter 28, Elsevier Science B. V.

• Check out sites of George Borjas, Barry R. Chiswick, Giovanni Peri and David Card

• Explore ancient times economics (still good): Taxes and Labor Supply by  J.A. Hausman

• Ch.F. Manski: Income Tax and Labor Supply

• George J. BORJAS: “THE ECONOMIC ANALYSIS OF IMMIGRATION”, In: Handbook of Labor Economics, Volume 3, Edited by O. Ashenfelter and D. Card (1999); Chapter 28,  Elsevier Science B. V.
• Adsera, Alicia and Pytlikova, Mariola (forthcoming):“The Role of Language in Shaping International Migration”. Forthcoming in the Economic Journal.

• F. Docquier, H. Rapoport  (2012): Globalization, brain drain and development, Journal of Economic Literature, 50 (3), 681-730.
• -Palmer, John and Mariola Pytliková (forthcoming): “Labor Market Laws and intra-European Migration: The Role of the State in Shaping Destination Choices”. Forthcoming in the European Journal of Population.
• Pedersen, Peder J. & Pytlikova, Mariola & Smith, Nina, 2008. "Selection and network effects—Migration flows into OECD countries 1990-2000," European Economic Review, Elsevier, vol. 52(7), pages 1160-1186.
•  Pedersen,J. P., Pytlikova, M. and N. Smith (2006): "Migration into OECD countries 1990-2000". In Parson and Smeeding (eds.): Immigration and the Transformation of Europe. Cambridge University Press.

• Borjas: Labour Economics; Chapter 5 on compensating wage differentials

• Krueger, Allan and David Schkade. (2008). Sorting in the Labor Market: Do Gregarious Workers Flock to Interactive Jobs?  The Journal of Human Resources Vol. 43, No4, Fall 2008.
• Cole, M. A., Elliott J. R., and J. K Lindley. (2009). Dirty Money: Is there a wage premium for working in a pollution intensive industry? Journal of Risk and Uncertainty 39 (October 2009), pp. 161-180.
• Daniel S. Hamermesh, 1999. "Changing Inequality in Markets for Workplace Amenities," The Quarterly Journal of Economics, MIT Press, vol. 114(4), pp. 1085-1123
• G. Duncan and B. Holmlund. (1983) "Was Adam Smith Right After All? Another Test of the Theory of Compensating Differentials" Journal of Labor Economics, vol. 1 , pp. 366-79.

• Borjas: Labour Economics; Chapter 9 Labor market discrimination.
• M. Bertrand and S. Mullainathan. (2004) “Are Emily and Greg More Employable than Lakisha and Jamal? A Field Experiment in Labor Market Discrimination,” AER 94 (Sept), pp. 991-1013.

• M. Bertrand. (2010) “New Perspectives on Gender,” Handbook of Labor Economics, vol. 4B, 1543-90.
• G. Becker (1957), The Economics of Discrimination, University of Chicago Press.
• D. Hamermesh and J. Biddle. (1994) "Beauty and the Labor Market," AER 84 (December).
• J. Altonji and R. Blank. (1999) “Race and Gender in the Labor Market.” In O.
• Ashenfelter and D. Card, eds., Handbook of Labor Economics, vol. 3C, 3143-259.
• Kevin Lang & Jee-Yeon K. Lehmann, 2012. "Racial Discrimination in the Labor Market: Theory and Empirics," Journal of Economic Literature, vol. 50(4), pp. 959-1006
• M. Niederle and L. Vesterlund. (2007) “Do Women Shy Away from Competition? Do Men Compete to Much?” Quarterly Journal of Economics 122 (August), 1067-1101.

• Changes in the Labor Supply Behavior of Married Women: 1980–2000, Francine D. Blau and Lawrence M. Kahn, Source: Journal of Labor Economics, Vol. 25, No. 3 (July 2007), pp. 393-438, Jstor
• Association Changes in Labor Force Participation in the United States: Chinhui Juhn and Simon Potter, The Journal of Economic Perspectives, Vol. 20, No. 3 (Summer, 2006), pp. 27-46, Jstor