Wage determination in late socialism: The case of Poland

Does economic transition necessitate a profound change in the inter-industry wage structure? This paper argues that principles of wage determination in centrally planned economies were not basically different from those prevailing in market economies. Even if the center became involved in wage setting, reward for human capital and the compensating differential had to be taken into consideration. Moreover, market power led to rent-sharing via wage bargaining and efficiency wages. Hence, this paper claims that wages in socialist economies were determined by similar factors to those in market economies. This is supported by comparison of inter-industry wage structures between socialist and capitalist countries and by results of the estimation of the wage equation for Poland. There is a noticeable degree of similarity in wage structures generated by both systems.     

Testing for Structural Change in Cointegrated Relationships: Analysis of Price–Wages Models for Poland and Hungary

In previous studies concerning short- and long-run relationships for price–wage models, the cointegration analysis has been developed assuming the existence of a unique cointegration parametrisation. These empirical results reveal the presence of significant relationships, both in the short and in the long run, among prices, wages, labour productivity and exchange rate. In this paper we intend to develop the possibility of a more general type of cointegration, allowing for a change at an unknown time period in the sample. At this end we will consider mainly the long-run relationship among these variables using the testing procedure suggested by Gregory and Hansen (1996a,b). This permits us to consider a multivariate extension of the endogenous break univariate approach and, in the meantime, this enables us to test for cointegration in the presence of possible structural breaking cointegrated relationships under the alternative. The empirical analysis of a multivariate model for price–wage relationship both for Poland and Hungary, over the period 1970–1996, is presented and discussed.     

Topics in macro-modelling of East European countries in the period of transition

Central and European former Centrally Planned Economies (CPEs) entered a period of transition towards market economies. The evolution is marked by a transition from shortage- to demand-determined economies, associated with the abandonment of price control and the introduction of tight wage control. Stabilization programmes (in Poland from 1990), implementing tough deflationary fiscal and monetary policies, brought about the suppression of hyperinflation. The high adjustment costs — deep recession, high rates of unemployment — are characteristics of the early '90s. The deregulation of the public sector and the building of the private one commenced, and will be a long-lasting process. To meet the changes in economic regimes and mechanisms, the existing models had to be adequately respecified and new models constructed. The large W-5 macromodel for Poland, which covers the final and intermediate demands, had to be extended to introduce the market adjustment mechanisms and, more broadly, the financial flows. To meet the needs of short-term financial policies, new quarterly models had to be built, as, for instance, the WK macromodel for the Polish economy. The paper discusses the major problems of the models' specification under the data constraints.     

Beyond Formal Equality: Closing the Gender Gap in a Changing Labour Market – A Study of Legislative Solutions Adopted in Canada

This article looks at the position of women in the Canadian labour market and at the legislative measures adopted to address their segregation in terms of occupation, wages and working conditions. Federal and provincial legislators have, with relative success, attempted through a series of measures to respond directly to the issue of discrimination against women in the workplace and in the labour market. They have, however, remained relatively insensitive to other factors that make the situation of working women precarious, such as the rise of ‘non-standard’ work. These inequalities are not peculiar to Canada and legislative responses to these questions vary according to specific national realities and legal traditions. A study of the legislative evolution in Canada serves to illustrate some of the challenges faced to redress this gender gap.     

Purchasing Power Parity in Three Transition Economies

This paper uses cointegration analysis on monthly data over April 1994-December 2000 to test the relevance theory of Purchasing Power Parity (PPP) for two advanced transition economies (Poland and the Czech Republic) and one lagging transition economy (Romania). PPP is not rejected between the lagging reformer and developed market economies, but is rejected between the advanced reformers and the developed economies. However, PPP is not rejected between the two advanced transition economies, though it is rejected between the lagging and advanced transition economies. The evolution of the real exchange rates over 1994-2000 suggest that a significant explanation for these findings is the central role of the exchange rate in the disinflation strategies of Poland and the Czech Republic in the early part of this period, in contrast to the managed float followed by Romania throughout the period.     

Raising the Question on ‘Who Should Get What?’ Again: On the Importance of Ideal and Existential Standards

This contribution compares the importance of ideal standards and existential standards on people’s ideas on fair earnings. Ideal standards refer to persons’ preferences for a distribution rule according to which earnings ought to be allocated among members of a social aggregate. Existential standards refer to conditions of the social context, like the average earning or pay inequality, that serves as points of reference when people shape their ideas on just earnings. In line with the theoretical literature, we find that both standards are relevant for shaping people’s ideas on just earnings. However, there seems to be greater consensus among our respondents on the importance attached to the existential standards than over that attached to the ideal standards. We also found a “reversed just gender wage gap”: by assigning higher earnings to fictitious female than fictitious male employees, our female and male respondents seem to compensate former gender-related income discrimination against female employees in the German labor market. Our analysis is based on the answers of 676 respondents living in Germany who participated in an internet-based factorial survey.     

Gender contracts in Estonian coastal farming families, 1870–1939

This paper deals with families that lived on the North West coast of Estonia from 1870 to 1939. This period involved a successive transition to a monetary economy for the family farmer and an increasing need for cash to be able to pay rents and debts arising from land purchases. A farm perspective is used to show the complexity of effects of societal changes on the gender division of labour. The study highlights how practices evolve within a specific spatial context in terms of adjustment of gender contracts. It is demonstrated that husbands and wives on farms involved in fishing and seafaring negotiated flexible gender contracts, in which women were flexible and took over men's work. Such contracts evolved when the men were absent from the farm due to fishing and seafaring duties. Flexible gender contracts developed if other solutions, such as hiring farmhands, were impossible to arrange. Small farms could develop a gender contract for collaboration at sea in which women accompanied their husbands on fishing trips. The results, which are based on interviews and archive sources, indicate that the smaller the family farm, the more inclined women were to take over traditional men's work. It is argued that different gender contracts are parallel phenomena and that they often seem to be temporary, since they are evaluated in relation to the standard gender contract that acts as a norm in society.     

Medicare program; home health prospective payment system rate update for calendar year 2006. Final rule

This final rule sets forth an update to the 60-day national episode rates and the national per-visit amounts under the Medicare prospective payment system for home health agencies. This final rule is the first update of the home health prospective payment system (HH PPS) rates that uses the revised area labor market Metropolitan Statistical Area designations for calendar year 2006. In implementing the new area labor market designations, we are allowing for a one-year transition period. This transition consists of a blend of 50 percent of the new area labor market designations' wage index and 50 percent of the previous area labor market designations' wage index. In addition, we are revising the fixed dollar loss ratio, which is used in the calculation of outlier payments.     

Legislating for Equality? Working Hours and Progression in Science Careers

Abstract:  This article presents some recent research on the progression of women in science careers in five EU Member States—the UK, Italy, Austria, Portugal, and Greece, examining the growing gender pay gap in science careers. It focused on the recruitment and participation of women, but also on their retention and progression. The interviews with scientists highlighted the importance of various dimensions of 'time-use' to an understanding of the progression of women and men in science careers. This article focuses on three dimensions of time: (1) time over the working day; (2) time over the working week; and (3) time over the working year. It describes the typical working schedules of the respondents, the functional use of that time and the particular challenges this presents for scientists with caring responsibilities. The results confirm previous findings ¹ underlining the importance of working hours in science both to the attractiveness of science careers—and the ability to recruit and retain men and women—and to career progression. Within this context, the article considers the potential of recent European legislation designed to regulate working time (Council Directive 93/104) to create a more level playing field and improve the progression of women in science.     

Women's Political Representation in the European Union

Feminist studies of the European Union seek to make sense of a field that has become enormously complex. Gender equality has been an issue in the EU since the inclusion of Article 119 on equal pay in the Treaty of Rome 1957 but has since widened to the recognition of equality between women and men as a fundamental principle of democracy for the whole EU. Gender equality is present both in gender-specific policies, such as women's participation in the labour market, sexual harassment and reconciliation of work and family, as well as informing the basic principles and functioning of the EU institutions wherever gender mainstreaming is implemented. Feminist explorations of the EU have tended to overlook one aspect of EU gender policies: women's political representation in the EU institutions. This article seeks to address this gap.     

Medicare program; hospice wage index--HCFA. Notice

This notice announces the annual update to the hospice wage index as required by 42 CFR 418,306(c). This update is effective October 1, 1998. The wage index is used to reflect local differences in wage levels. The hospice wage index methodology and values are based on recommendations of a negotiated rulemaking advisory committee and were originally published in the Federal Register on August 8, 1997. This update is the second year of a 3-year transition period. The second transition year begins October 1, 1998 and ends September 30, 1999.     

Transitions in women's and children's work patterns and implications for the study of family income and household structure: A case study from the Catalan textile sector (1850–1925)

This article deals with the outcomes of changes in the family labor resource allocation for family incomes and household structures. During the first stage of the demographic transition, since women worked more than men due to child bearing and child rearing, and children were the main contributors to household incomes over the medium term, there was a substitution effect whereby women 's wage labor was replaced by that of the children. With the beginning of the second industrial revolution, a contrary trend can be observed whereby child labor was replaced by that of married women, even by those reported as housewives in the Municipal Census. A smaller number of children, mandatory schooling, and an improvement of women 's position within the factory with respect to men, all seem to explain this second substitution. As a result of all these transformations, household structures and family incomes do not conform to any pre-established norms and integrate what we have defined as a family economy of mutual assistance.     

World gone wrong: the financial crisis,labor market transitions and earnings in Serbia

While results are starting to emerge, not much is known yet about the dynamics of the labor markets of the former Eastern economies, especially in the context of the current financial crisis. Arguably, this is mainly due to paucity of (panel) data. By examining labor market transitions and earnings growth and their correlates using a recent panel data set for Serbia, this paper combines both of these issues. Estimation of gross transition probabilities reveals that females are disadvantaged in the Serbian labor market in terms of moving out of the two undesirable states, unemployment and economic inactivity, relative to males during the first year of the financial crisis—though males are harder hit than females in terms of the levels of unemployment. In terms of earnings growth, the picture is reversed, with females experiencing smaller earnings decreases than males (though, owing to the gender earnings gap, from a much lower base). Examining the determinants of employment, unemployment, and inactivity transitions and of earnings growth reveal substantial gender differences related to individual, job, and firm characteristics. The overall results therefore hint at both males and females being hit in terms of employment and earnings, though in different ways. Finally, the paper discusses policy implications and provides suggestions for further research.     

The Black-White Test Score Gap Through Third Grade

This article describes basic facts regarding the Black-Whitetest score gap over the first four years of school. Black childrenenter school substantially behind their White counterparts inreading and math, but including a small number of covariateserases the gap. Over the first four years of school, however,Blacks lose substantial ground relative to other races; averaging0.10 standard deviations per school year. By the end of thirdgrade, there is a large Black-White test score gap that cannotbe explained by observable characteristics. Blacks are fallingbehind in virtually all categories of skills tested, exceptthe most basic. None of the explanations we examine, includingsystematic differences in school quality across races, convincinglyexplain the divergent academic trajectory of Black students.     

Private returns to education in urban China

The paper examines the marginal returns of education in China for 4 years covering the period 1989–2000. We find, in common, with others that such returns were small in 1989 and 1993, but have increased steadily since 1993. We also find that the returns for women exceed those for men and go some way to reducing the gender earnings gap. Crucially, however, the returns to education decline with the length of time since the individual left school which is consistent with the hypothesis that education enhances ability and skills which in turn enhances earnings, but that the value of such skills deteriorates over time. Finally we find evidence for gravity effects by which earnings decline with distance from Beijing, and more noticeably, Shanghai.     

Labor force participation in the Soviet and post-Soviet Baltic States

It is well documented that labor force participation rates fell precipitately as the economies of the former Soviet Union and Central and Eastern Europe made the transition from plan to market. However data allowing for direct comparison between the planned and transition periods of specific countries is rare. Here comparable data is used examining labor force participation in the Baltic States in 1990 (the late Soviet period), 1996, and 1999. While the data do indicate large drops in labor force participation, much of the decrease was concentrated among older individuals (those over 55) and women.     

THE NARROWING GENDER GAP IN ARRESTS: ASSESSING COMPETING EXPLANATIONS USING SELF‐REPORT,TRAFFIC FATALITY,AND OFFICIAL DATA ON DRUNK DRIVING, 1980–2004*

We evaluate two alternative explanations for the converging gender gap in arrest—changes in women's behavior versus changes in mechanisms of social control. Using the offense of drunk driving and three methodologically diverse data sets, we explore trends in the DUI gender gap. We probe for change across various age groups and across measures tapping DUI prevalence and chronicity. Augmented Dickey‐Fuller time‐series techniques are used to assess changes in the gender gap and levels of drunk driving from 1980 to 2004. Analyses show women of all ages making arrest gains on men—a converging gender gap. In contrast, self‐report and traffic data indicate little or no systematic change in the DUI gender gap. Findings support the conclusion that mechanisms of social control have shifted to target female offending patterns disproportionately. Little support exists for the contention that increased strain and liberalized gender roles have altered the gender gap or female drunk‐driving patterns.     

The Price-Wage Mechanism in Poland: An Endogenous Switching Model

This paper proposes a two-equation price-wage model that enables to test whether the inflationary pressure on wage rate is only present when the rate of inflation is greater than some threshold value. Since the likelihood function for this model is very nonstandard, we develop a small-sample Bayesian approach to estimate its parameters. Our empirical results for Poland, 1962–1993, give support to the hypothesis of the price- wage spiral with a positive threshold value of inflation.     

GENDER AND IMPRISONMENT DECISIONS

Guidelines sentencing data from Pennsylvania for the years 1985–1987 are analyzed to assess the influence of gender on judges' imprisonment decisions. These data provide detailed information on offense severity and prior record, permit statistical controls for other variables thought to affect imprisonment decisions, cover a fairly comprehensive list of common-law offenses (with adequate sample size), and contain judges' dispositional-departure reasons for sentences outside the guidelines schema. The data—analyzed with additive and interactive models–indicate that gender (net of other factors) has a small effect on the likelihood of imprisonment toward lesser jailing of female defendants but has a negligible effect on the length-of-imprisonment decision. Observations and interview responses from selected judges help to clarify the ways in which judges' sentencing practices are gender linked. Together, the statistical and the qualitative data suggest that the sentencing practices of judges are driven by two main concerns, blameworthiness (e.g., as indicated by prior record, type of involvement, remorse) and practicality (e.g., as indicated by child-care responsibility, pregnancy, emotional or physical problems, availability of adequate jail space). Based on our findings, we suspect that when men and women appear in (contemporary) criminal court in similar circumstances and are charged with similar offenses, they receive similar treatment. A major question from a policy perspective is, when gender disparities in sentence outcomes do arise, are the disparities warranted or unwarranted?