Higher Employment Growth Research Articles

Economic complexity and deforestation in the Brazilian Amazon

As the Amazon rainforest faces ever-increasing deforestation, finding a balance between conservation and economic progress becomes imperative. This study investigates the relationship between regional economic complexity (ECI-R) and deforestation in municipalities within the Brazilian Amazon between 2006 and 2021. Employing different econometric techniques, we untangle the multifaceted factors determining land use choices while considering variables associated with agriculture, extraction, and livestock activities. Rigorous testing confirms the validity of our findings. The results suggest an “environmental Kuznets curve” at play in the Amazon. This means that a slight increase in regional economic complexity (0.1 unit) initially leads to a significant rise in deforestation (28 %) but is followed by a decrease (8.4 %) in the following year. Interestingly, environmental fines appear to be a powerful tool for controlling deforestation. Further analysis using Probit regressions reinforces the key roles of economic complexity and environmental enforcement. Municipalities with higher regional complexity were 20 % more likely to experience low deforestation and high employment growth between 2006 and 2011. However, this trend reversed in later periods. Ultimately, the results indicate a complex relationship between economic complexity and deforestation. These findings highlight governments’ critical role in promoting sustainable development in the Amazon. There are limits to such an approach but supporting “green” industries and curbing deforestation-related activities can steer the region towards a more prosperous and environmentally responsible future.

Indien: Die Bedeutung der Zuwanderung für die Zukunft des Wirtschaftsstandorts Deutschland

Abstract The immigration of STEM specialists has a decisive impact on Germany’s ability to innovate. Analyses by the German Economic Institute with a focus on India show high employment growth in recent years. Indian STEM specialists earn comparatively high median wages. The revised Skilled Labour Immigration Act offers the opportunity to further strengthen and accelerate this immigration process.

The Impact of a State-Level, Place-Based Economic Development Program: A Difference-in-Differences Approach

This analysis uses a difference-in-differences approach to examine the impact of the Regional Cities Initiative (RCI) on economic development outcomes in counties that participated in the program relative to those that did not participate. The RCI was a place-based economic development program that was implemented in Indiana beginning in 2015. Through a competitive process, this program provided funding for projects meant to improve the quality of life in three regions of the state. The results indicate that participating counties had higher gross domestic product growth and higher employment growth than nonparticipating counties. There is limited evidence that the program had a positive impact on population growth. There were no discernable effects on house prices or earnings.

Is Chief Executive Officer optimistic belief bad for workers? Evidence from corporate employment decisions

AbstractUsing a behavioural approach, we investigate how Chief Executive Officer optimism, defined as a personality trait where a person has optimistic beliefs about the outcome of future events, influences corporate employment decisions. Using data of publicly traded firms in the U.S. from 1995 to 2017, we show that firms with optimistic CEOs have higher employment growth and exhibit less pronounced employment sensitivity to declining sales than firms with non‐optimistic CEOs do. We also find that the impact of optimistic CEOs on employment decisions is larger in financially constrained firms. We deal with potential endogeneity issues with the entropy balancing method, propensity score matching and two‐stage least squares regression. Our findings have important implications for the design and implementation of Human Resource Management policies.

National Analysis of Health care Related Costs for Health care Workers and Administrators Over the Past Decade: Toward Establishing Sustainable and Cost Effective Health care System.

We aim to investigate the costs associated with growth in the administrators, health care staff, and physicians to provide direction to establish a sustainable and cost-effective U.S. health care system. Data from the U.S. Bureau of Labor Statistics, particularly the Labor Force Statistics from the Current Population Survey, were utilized from 2009 to 2020. Wages and employment of medical and health service managers (administrators), health care practitioners and technical operations (health care staff), and physicians were used to calculate the total cost. Administrator wages have grown similarly to health care staff wages (-4.40 vs -3.01%, P = .454) and physician wages (-4.40 vs -3.29%, P = .672). Additionally, there has been a similar increase in health care staff employment (9.91 vs 14.23%, P = .269) and physician employment (9.91 vs 15.35%, P = .252) compared to administrator employment. Overall, the total growth in administrator cost is similar to the growth in total health care staff cost (6.23 vs 11.80, P = .104) and total physician cost (6.23 vs 13.02%, P = .079). In 2020, physicians had the highest employment growth but the smallest wage increase. Although health care staff experienced a greater percent growth in employment and cost per employee than administrators since 2009, the cost per administrator remains greater than that of health care staff. Understanding differences in wages and costs is essential to reduce health care spending without compromising access, delivery, and quality of health care services.

On the Socio-Economic Effects of the Retirement Age Extension

The extension of retirement age is a hot issue of debate in South Korea. The unprecedentedly rapid aging due to the low fertility and longevity made the South Korea to show the highest level of old-age poverty among OECD countries. The rapid ageing brings the shortage of labor supply and the old-age poverty. The shortage of labor supply will eventually bring a slowdown of growth potentials of the economy. The alternative for the shortage of labor is the extension/delay of retirement. We analyze the impact of raising the retirement age on the employment, industry output, and economic growth. We used CGE model to analyze the retirement extension in South Korea. The overall effects can be summarized as follows: (1) the delay of retirement causes the increase in labor employed by –0.007% ~ 0.248%, and the real wage changes by –0.190 ~ –0.093. (2) Employment by industry varies according to the labor skills required in that sector. In general, the skill-intensive sector has higher employment growth. (3) The delayed retirement in the skill-biased sector cause real GDP to grow more (e.g., professional services, etc.).

İŞGÜCÜ TALEBİ ULUSLARARASI TİCARETE TEPKİ VERİYOR MU? TÜRK İMALAT SEKTÖRÜNDEN KANITLAR

The aim of this study is to analyze the impact of international trade on employment in the Turkish manufacturing industry over the 2003-2017 period. Specifically, this study analyzes the employment effects of Turkey’s trade with its major trading partners, namely, European Union countries, Russia, the United States, Iraq, and China. The findings of the study reveal that increased exports to the selected countries lead to employment generation in Turkish manufacturing. Both exports to and imports from the European Union countries have positive employment effects. Considering only the sectors with the highest employment growth during the period we can conclude that imports from the United States, European Union, and Iraq have led to decline in employment however imports from China and Russia increased employment in the manufacturing industry.

소셜미디어를 통한 직원의 기업전망 평가와 고용증가와의 상관성

The recent expansion of the use of social media has served as an opportunity to express users' opinions in real time in various fields such as society, economy, politics, and culture, and brought many platforms that provide various information about companies. Among them, Glassdoor.com which started 2008 in US provides users with evaluations of the current and the former employees of their companies and also provides a outlooks for the company's growth Such a platform has the utility of providing necessary information to whom want to find a job or change jobs. In addition to this, variable studies have shown that the company information provided through these platforms is useful for investors as well. In this study, it was tested whether the corporate growth prospects of employees provided by Jobplanet, a platform with a typical function similar to Glassdoor.com in Korea, have predictive power to predict actual corporate growth. The forecast provided by Jobplanet and the company's financial indicator data received from FnGuide were collected and composed of panel data and analyzed using fixed effect model regression analysis. As a result, it was found that companies with positive prospects had higher employment growth than companies with negative prospects. When the outlook was neutral, the employment growth rate was higher than that of companies with a negative outlook.

Recruitment, retention and employment growth in the long-term care sector in England.

This paper studies the relationship between turnover, hiring and employment growth in the long-term care (LTC) sector in England and sheds light on how challenges in both recruitment and retention affect the sector's ability to meet growing demand for care services. Using the Adult Social Care Workforce Data Set (ASC-WDS), a large longitudinal dataset of LTC establishments in England, and fixed effects estimation methods we: (a) quantify the relationship between the in/outflow of care workers and the expansion/contraction of employment within establishments, (b) establish the role of staff retention policy for workforce expansion, and (c) identify the role of recruitment frictions and its impact on hiring and employment contraction. Our analysis indicates that care worker turnover and employment growth are negatively related. A one percentage point increase in employment contraction is associated with a 0.71 percentage point rise in turnover, while a one percentage point increase in employment expansion is associated with a 0.23 percentage point fall in turnover. In contrast, we find that hiring rates and employment growth are positively related. A one percentage point increase in employment expansion is associated with a 0.76 percentage point rise in hiring, while a one percentage point increase in employment contraction is associated with a 0.26 percentage point decrease in hiring. We argue that the negative turnover-employment growth relationship within expanding establishments provides evidence that better staff retention is associated with higher employment growth. Using information on establishments' annual change in vacancies, and controlling for changes in new labor demand, we also find rising year-on-year vacancies amongst establishments with declining employment. This provides evidence that recruitment frictions drive the declining rate of replacement hiring amongst contracting establishments. Across sectors, we find that the employment growth-turnover and the employment decline-hiring relationships are relatively stronger in the private and voluntary sectors compared to the public sector, suggesting that the impact of staff retention and recruitment frictions on employment is more acute in these sectors.

The Collateral Channel and Bank Credit

Our paper studies the role of the collateral channel for bank credit using confidential bank-firm-loan data. We estimate that for a 1 percent increase in collateral values, firms pledging real estate collateral experience a 12 basis point higher growth in bank lending with higher sensitivities for more credit constrained firms. Higher real estate values boost firm capital expenditures and lead to lower unemployment and higher employment growth and business creation. Our estimates imply that as much as 37 percent of employment growth over the period from 2013 to 2019 can be attributed to the relaxation of borrowing constraints.

Cherry‐picking industrial properties in opportunity zones

AbstractWe examine the impact on industrial property prices following the launch of US opportunity zones—a location‐based tax incentive program intended to attract investment into low‐income communities. Using a national sample of commercial real estate transactions, we document significantly higher transaction premiums, when matched with comparable transactions in eligible tracts that were not included in the program. Consistent with development options that are incentivized by the program, we find that premiums are concentrated at properties with the largest amounts of excess land available, and we observe no evidence of spillover effects to properties that do not possess similar optionality. Among the designated opportunity zones, significant transaction premiums appear in areas that previously demonstrate high employment and population growth. Overall, we do not find evidence to suggest that the aggregate share of commercial real estate transaction volume to opportunity zones has increased following the legislation.

Regional differences in how related variety ‘works’: the case of labour mobility

ABSTRACT The benefits of related variety on regional employment growth have become a prevailing view. However, these remain potential benefits unless channels (e.g. labour flows, inter-firm cooperation) and regional capabilities are in place to convert them into actual growth. This paper focuses on the labour mobility channel and proposes a way to measure the realized part of related variety. It demonstrates that in Sweden, core regions make ten times more use of their related variety potential via labour mobility than small, peripheral regions. Moreover, even in core and large regions only a handful of potential ties are realized. Most firms in small regions must rely on other channels to convert related variety potential into growth. Furthermore, while local labour flows between related industries are associated with higher employment growth, no evidence is found that, on average, other channels bring growth benefits in small regions. Thus, the paper argues that the role of market-mediated knowledge flow channels like labour mobility is underestimated compared to pure spillovers via unintended interactions. Consequently, it is important to go beyond assuming that the benefits of related variety are ‘in the air’ or in local ‘buzz’ and focus on specific channels at work.

Access to Finance and Job Growth: Firm-Level Evidence across Developing Countries

Abstract This paper investigates the effect of access to finance on job growth in over 780,000 firms across twenty-two developing countries. Using the introduction of credit bureaus as an exogenous shock to the supply of credit, the paper finds that increased access to finance results in higher employment growth, especially among micro, small, and medium enterprises. The results are robust to using firm-fixed effects, industry measures of external finance dependence, and propensity score matching. Our findings have implications for policy interventions targeted to produce job growth.

KAJIAN KEBIJAKAN DAN PENGEMBANGAN SEKTOR INFORMAL KOTA PEMATANGSIANTAR

Today, the presence of the urban informal sector is considered one of the emerging economic sectors as a result of the city's high employment growth situation. Those who enter this small-scale business, initially aimed at finding job opportunities and creating income. Identify the distribution of informal sector of Pematangsiantar City, using data from plotting surveys using GPS (Global Positioning System). The distribution of business actors / informal sector activities is identified based on the number of samples taken in conjunction with the dissemination of questionnaires. The number of samples itself is determined using sampling method. The calculation itself is done by means of the number of respondents who choose one of the variables divided by the total number of respondents, namely 50 (fifty) correspondents. Weighting on internal factors of importance is based on the large influence of strategic factors on its strategic position (Freddy Rangkuti, 2001 : 22-24). The number of weights on each internal factor must amount to = 1 (one) : Total Internal Score → Total Strength Weight + Total Weight Weakness = 1. While the value of weight according to Freddy Rangkuti (2001: 22-24) and Training Spama (2000: 13-14) based on the following provisions: "Scale 1.0 (very important) up to 0.0 (not important)". The average weight value depends on the number of strategic factors (5-10 strategic factors) used After doing the analysis, it can be known that in strengths variables that have the highest sub total is creativity with a value of 0.640. And for weaknesses that have the highest sub total is the source of capital with a value of 0.270. Conclusions based on the results of identification and analysis of the Study of Development and Informal Sector Of Pematangsiantar City, then some conclusions that can be drawn as follows, the Internal Development factor of informal sector of the City of Pematangsiantar consists of several factors of strengths and weaknesses. Variables of the strength of the informal sector of Pematangsiantar City are: motivation, creativity, many kinds / types of business, small capital, and work experience. The variables of the weakness of the informal sector of pematangsiantar city are: level of education, lack of permits, availability of raw materials, facilities and infrastructure, as well as sources of capital

The value of publicly available, textual and non-textual information for startup performance prediction

We use administrative textual and non-textual data retrieved from publicly available archives to predict the performance of Danish startups at the time of foundation. The performance outcomes we consider are survival, high employment growth, a return on assets of above 20 percent, new patent applications and participation in an innovation subsidy program. We consider a base specification that includes variables for legal form, region, ownership and industry in all specifications and add variable sets representing firm names, business purpose statements (BPSs) as well as founder and startup characteristics. To forecast the two innovation-related performance outcomes well, we only need to include a set of variables derived from the BPS texts on top of the base variables while an accurate prediction of startup survival requires the combination of the firm names and the BPS variables along with founder characteristics. An accurate forecast of high employment growth needs the combination of the BPS variables and the founder characteristics. All information our forecasts require is likely to be easily obtainable since the underlying information is mandatory to report upon business registration in many countries. The substantial accuracy of our predictions for survival, employment growth, new patents and participation in innovation subsidy programs indicates ample scope for algorithmic scoring models as an additional pillar of funding and innovation support decisions.

The Value of Publicly Available, Textual and Non-textual Information For Startup Performance Prediction

Can publicly available, web-scraped data be used to identify promising business startups at an early stage? To answer this question, we use such textual and non-textual information about the names of Danish firms and their addresses as well as their business purpose statements (BPSs) supplemented by core accounting information along with founder and initial startup characteristics to forecast the performance of newly started enterprises over a five years' time horizon. The performance outcomes we consider are involuntary exit, above-average employment growth, a return on assets of above 20 percent, new patent applications and participation in an innovation subsidy program. Our first key finding is that our models predict startup performance with either high or very high accuracy with the exception of high returns on assets where predictive power remains poor. Our second key finding is that the data requirements for predicting performance outcomes with such accuracy are low. To forecast the two innovation-related performance outcomes well, we only need to include a set of variables derived from the BPS texts while an accurate prediction of startup survival and high employment growth needs the combination of (i) information derived from the names of the startups, (ii) data on elementary founder-related characteristics and (iii) either variables describing the initial characteristics of the startup (to predict startup survival) or business purpose statement information (to predict high employment growth). These sets of variables are easily obtainable since the underlying information is mandatory to report upon business registration. The substantial accuracy of our predictions for survival, employment growth, new patents and participation in innovation subsidy programs indicates ample scope for algorithmic scoring models as an additional pillar of funding and innovation support decisions.

Evaluating the impact of registration on future firm performance in the Middle East and North Africa region: evidence from the World Bank Enterprise Survey

The aim of this paper is to investigate whether the future firm performance of formal enterprises that started-up unregistered and spent longer unregistered are significantly different to those that registered at the outset. Reporting World Bank Enterprise Survey data on 3,420 formal enterprises from eleven countries in the Middle East and North Africa (MENA) region, and controlling for other determinants of firm performance as well as the endogeneity of the registration decision using the Heckman selection model, the finding is that unregistered firms at start-up witness lower sales and productivity growth but higher employment growth rates. The effect of the registration decision on future performance thus depends on the performance indicator analysed. The theoretical implications are then discussed along with the limitations and future research required.

What Is a Patent Worth? Evidence from the U.S. Patent “Lottery”

ABSTRACTWe provide evidence on the value of patents to startups by leveraging the quasi‐random assignment of applications to examiners with different propensities to grant patents. Using unique data on all first‐time applications filed at the U.S. Patent Office since 2001, we find that startups that win the patent “lottery” by drawing lenient examiners have, on average, 55% higher employment growth and 80% higher sales growth five years later. Patent winners also pursue more, and higher quality, follow‐on innovation. Winning a first patent boosts a startup’s subsequent growth and innovation by facilitating access to funding from venture capitalists, banks, and public investors.

HUMAN CAPITAL AND URBAN GROWTH IN ITALY, 1981–2001

Over the last decades of the XX century, human capital has emerged as a critical source of agglomeration economies fueling urban growth in advanced economies. Focusing on the Italian case, this paper assesses the contribution of human capital to urban growth, the latter gauged by employment growth between 1981 and 2001. A 10% higher share of college‐educated residents prompted a higher growth in employment in the 0.5–2.2% range. These results hold controlling for a wide set of urban characteristics and using an instrumental variable approach. By exploiting a spatial localization model, we disentangle the estimated effect into two components related to higher productivity and to higher life quality, respectively. We found that the former contributed to more than 60% of the effect at municipal level, and to over 90% at the wider local labor market level.

Industrial Development in Nepal: Problems and Prospects

Industry has historically played an important role in contributing to economic growth and employment of many countries around the world. It is imperative to give high priority to Nepalese labor, skill and raw material based domestic investments to promote national level industries for achieving high employment and economic growth. So, this study examines analytically the industrial development of Nepal for the period 1960 to 2018 based on secondary data. As an outcome of this sector is found to be a more potential sector and contributing a significant role in sustain and wide economic growth in Nepal even in reality it has less contribution as its potential capacity in the past.