When Less is More: The Impact of the Regulation on Standard Workweek on Labor Productivity in South Korea

This paper examines the impact of a workweek reduction policy on the labor productivity of manufacturing plants in Korea. Taking advantage of the stepwise introduction of the standard 40‐hour workweek in Korea, we apply a difference‐in‐differences framework to individual‐level cross‐sectional and plant‐level longitudinal data to examine the impact of the policy on working hours and output, respectively. We find that the policy reduced per‐worker hours but increased per‐worker output, which is robust to various specifications and sample restrictions. The observed increase in per‐worker output is likely to be mediated through the increase in the total factor productivity and the amount of capital stock.     

The Political Value of Land: Political Reform and Land Prices in Chile

In this article, we argue that when patron‐client relations are grounded in economic relationships, such as between landlord and worker, we should expect clientelism to influence not just how public policy, the state, and the political system work, but also how the economy works. We develop a simple model of the economic consequences of electoral clientelism when voting behavior can be observed. Landlords/patrons provide economic rents to workers, and in exchange workers vote for parties favored by landlords. As votes are used by the landlords to accumulate political rents, vote control increases the demand for labor and for land. The model implies that the introduction of the Australian ballot, which destroys this form of clientelism, should lead to a fall in the price of land in those areas where patron‐client relationships are strongest. We test the predictions of the model by examining in detail the evolution of land prices in Chile around May 31, 1958, for which we collected original data. A characteristic of rural Chile at this time were patron‐client relations based on the inquilinaje system, by which a worker, the inquilino, entered into a long‐term, often hereditary, employment relationship with a landlord and lived on his landlord’s estate. We show that the introduction of the Australian ballot in 1958 led to a fall of about 26% in land prices in the areas where these patron‐client relationships were predominant.     

Gender and Emotional Labor in Public Organizations: An Empirical Examination of the Link to Performance

Scholars of public organizations have begun to emphasize emotional labor in studies of gender in the workplace, finding that the skills women bring to organizations are often overlooked and undercompensated even though they play a vital role in the organization. Emotional labor is an individual's effort to present emotions in a way that is desired by the organization. The authors hypothesize that employers with greater emotional labor expectations of their employees will have more effective interactions with clients, better internal relationships, and superior program performance. This article tests the effects of emotional labor in a bureaucratic workforce over time. Multiple regression results show that organizations with more women at the street level have higher overall organizational performance. Additionally, emotional labor contributes to organizational productivity over and above its role in employee turnover and client satisfaction.     

Permanent Visas and Temporary Jobs: Evidence from Postdoctoral Participation of Foreign PhDs in the United States

About 75 percent of U.S.‐trained, noncitizen PhDs in science and engineering work in the United States after graduation, and 54 percent of those who stay take postdoctoral positions. The probability of postdoctoral participation is substantially higher for temporary visa holders than for permanent visa holders because of visa‐related restrictions in the U.S. labor market. To identify the causal effects of visa status on entry into a postdoctoral position, this paper uses a unique shock to visa status generated by the Chinese Student Protection Act of 1992. Eligibility for the act is used as an instrumental variable for visa status. Two‐stage least‐square estimates show that permanent visa holders are 24 percent less likely to take postdoctoral positions than temporary visa holders. The effects of a permanent visa vary considerably across research fields, but for most fields, it reduces postdoctoral participation significantly.     

A distributional theory of government growth

This article presents a closed form solution for time-consistent taxation and public spending in a dynamic game between government and median voter. Extending Meltzer and Richard’s static analysis of government size the article offers a theory of growth of government. At low stages of economic development the median voter, identified as a relatively poor worker, prefers to have no or only small redistributive taxation in order to foster savings. Through this channel he expects improvements of his labor productivity and wage. At higher stages of development, however, when capital is relatively abundant and prospects of further labor productivity gains through capital accumulation are smaller, the incentive to tax and redistribute income rises. Yet, in line with previous work on growth and infrastructure spending the median voter prefers a constant share of productive public spending at all times. Hence, government growth is solely driven by an expanding welfare state.     

Electoral Rules,Labor Market Coordination and Macroeconomic Performance

Two distinct literatures have studied the macroeconomic effects of electoral systems and of labor market structures, respectively. Results include a positive association between proportional representation (PR) electoral systems and growth, but also between PR and inflation, as well as negative or hump‐shaped relationships between labor market coordination and the ‘misery variables’, unemployment and inflation. However, these results could be biased; particular electoral system and labor market features co‐vary systematically, and extant studies have typically not taken this into account. Effects attributed to PR systems could really stem from labor market coordination, and vice versa. In this article the relationships with macroeconomic outcomes for both electoral systems and labor market structures are re‐evaluated by modelling them jointly. Employing data from more than 30 democracies, with time‐series from the period 1960–2010, some robust and some non‐robust associations are identified. First, PR systems are, indeed, associated with higher growth rates, but not with higher inflation. Regarding labor market coordination, robust curvilinear relationships with unemployment and inflation are identified; intermediate levels of coordination correspond with worse macroeconomic performance – albeit not lower growth – even when accounting for electoral system features.     

A new framework for testing the effect of government spending on growth and productivity

Does government spending have a positive or negative effect on economic growth? The results of earlier empirical studies give mixed results. In this study we suggest a new method for testing the effect of different kinds of government expenditure on productivity growth in the private sector. The focus on productivity in the private sector and the use of disaggregated data makes it possible to avoid or mitigate a number of methodological problems. The major conclusions, which are quite robust, are that government transfers, consumption and total outlays have consistently negative effects, while educational expenditure has a positive effect, and government investment has no effect on private productivity growth. The impact is also found to work solely through total factor productivity and not via the marginal productivity of labor and capital.     

The impact of state enterprise zones on urban manufacturing establishments

Since the early 1980s, the vast majority of states have implemented enterprise zones. This paper analyzes urban zones in six states, examining the factors that states use to choose zone locations and the subsequent effect of the zones on business activity and employment. The source of outcome data is the U.S. Bureau of Census' longitudinal research database (LRD), which tracks manufacturing establishments over time. Matched sample and geographic comparison groups are created to measure the impact of zone policy on employment, establishment, shipment, payroll, and capital spending outcomes. Consistent with previous findings, the difference‐in‐difference estimates indicate that zones have little effect, on average. However, by exploiting the establishment‐level data to examine gross as well as net changes, the analysis finds that zones have a positive effect on the outcomes of new establishments and a negative effect on the outcomes of previously existing establishments. © 2004 by the Association for Public Policy Analysis and Management.     

Re-slicing the Big Apple: New Immigrants and African-Americans in the New York Economy

The continuing convergence of immigrants on New York City is a puzzle. On the one hand, the decline of the city's manufacturing sector and the growth of advanced services appear to provide little demand for immigrant labor; on the other hand, the deep penetration of immigrants into the city's economy has been paralleled by a deteriorating employment situation among native blacks. This article, seeks to unravel this puzzk in the light of two conflicting perspectives, the restructuring and the replacement labor hypotheses. The paper assesses each perspective using data from the 1970 and 1980 Censuses of Population and merged sampks of the June 1986 and 1988 Current Population Surveys.     

Introduction to the issue in honor of Keith T. Poole

William Baumol’s model predicts a steady increase in relative public sector prices (or costs) because of the combination of slow productivity growth and wage growth similar to sectors wherein productivity is growing more quickly. In this paper, we extend the Baumol model with political variables and analyze price growth in defense and public administration using Norwegian data. We find strong support for the mechanism of the Baumol model since manufacturing productivity is the most important determinant of relative public-sector prices. Greater political fragmentation has also contributed to the price growth, but its quantitative effect is smaller than that of manufacturing productivity. An analysis of a labor-intensive private service (restaurants and cafes) supports the broader relevance of the Baumol mechanism and the validity of the estimated effect of political fragmentation on the two sectors considered herein.     

The interaction of municipal labor markets in the state of Tabasco: an approximation via the use of gravitational models

Employment is an important factor in state planning and a variable in both economic activity and population. Multiregional methodologies which incorporate territorial variables in functional type analyses may be used to study the interactions between municipal labor markets, helping identify those that should receive priority assistance in developing their sources of employment. This work uses a gravitational model to analyze interactions between the local labor markets of 17 seats of municipios in the state of Tabasco as demonstrated with data from the census of 1990. The working hypothesis was that alternatives for labor market growth are distributed hierarchically in descending order of supply as a function of the size of the economically active population in each locality, the relative participation of the unemployed in each locality, and the distance between the localities. The modeling of interaction between local labor markets is achieved in three stages. First, a gravitational model is adjusted with restrictions in the origins. The next step requires use of the parameters resulting from the first step to predict the number of trips to each destination, as a function of levels of unemployment in each locality producing trips. The third stage consists of predictive application of a gravitational model restricted in both origin and destination to define the magnitude of flows between each point of origin and each point of destination. The general character of the gravitational model is described for each step. The model suggests that the main interactions between local labor markets at the level of seats of municipios are located in the center of the state. Three municipal seats in particular had great potential for labor market growth. A separate system of labor market interaction was observed in the southern part of the state. The coastal zone did not appear to offer an alternative for labor market growth.     

THE IMPACT MAXIMUM BENEFIT AMOUNTS HAVE ON THE LENGTH OF TIME FAMILIES RECEIVE AFDC-BASIC BENEFITS

Analysts and program evaluators have rightly focused on the impact policies have on participants achieving programs’ goals and objectives. Yet a potentially neglected aspect of these analyses is the impact policies themselves have on who is initially eligible to participate in the programs and the impact policy parameters have on the length of time people participate in the program. This article reports the findings of a study on the length of time families receive AFDC (now TANF) benefits in two counties in a high benefit state, Wisconsin, between 1987 and 1989 and a low benefit state, Texas, from mid‐1989 through 1992 and the influence the states’ maximum benefits have on who is eligible to receive benefits and how families lose eligibility. Results of a life table analysis indicate that families in Texas receive benefits over significantly less time. However, results of a multivariate analysis indicate that when selected personal and familial attributes are held constant, the difference disappears.     

Linking program implementation and effectiveness: Lessons from a pooled sample of welfare‐to‐work experiments

This paper addresses the question: How does implementation influence the effectiveness of mandatory welfare‐to‐work programs? Data from three large‐scale, multi‐site random assignment experiments were pooled; quantitative measures of program implementation were constructed; and multilevel statistical modeling was used to examine the relationship between program implementation and effects on short‐term client earnings. Individual‐level data were analyzed for 69,399 sample members and group‐level implementation data were analyzed for 59 local programs. Findings indicate that, other things being equal, earnings effects are increased by: an emphasis on quick client employment, an emphasis on personalized client attention, staff caseloads that do not get too large, and limited use of basic education. Findings also show that mandatory welfare‐to‐work programs can be effective for many types of people, and that focusing on clients who are especially job‐ready (or not) does not have a consistent influence on a program's effectiveness. © 2003 by the Association for Public Policy Analysis and Management     

Accountability‐by‐Proxy in Transnational Non‐State Governance

Transnational non‐state governance arrangements (NGAs) are increasingly common in areas such as labor standards and environmental sustainability, often presenting themselves as innovative means through which the lives of marginalized communities in developing countries can be improved. Yet in some cases, the policy interventions adopted by the managers of these NGAs appear not to be welcomed by their supposed beneficiaries. This article accounts for this predicament by examining the effects of different configurations of accountability within NGAs promoting labor rights. Most labor‐rights NGAs incorporate “proxy accountability” arrangements, in which consumers and activists hold decision makers accountable “on behalf” of the putative beneficiaries of the NGAs: workers and affected communities in poorer countries. The article shows how and why different combinations of proxy versus beneficiary accountability influence the choice of policy instruments used by NGAs, and applies the argument to three prominent non‐state initiatives in the domain of labor standards.     

How Do Career Strategies,Gender, and Work Environment Affect Faculty Productivity Levels in University‐Based Science Centers?1

Recent studies have shown that in many science and engineering fields, almost 40% of faculty are affiliated with university‐based research centers ( Corley & Gaughan, 2005 ). As major science funding organizations continue to increase annual levels of funding for interdisciplinary science centers, it is likely that this number will increase significantly over the next decade. Moreover, some scholars have argued that the rise of university‐based science centers has already led to the development of a new institutional form for the execution of university‐based research ( Bozeman & Boardman, 2004 ). Yet, interestingly few researchers have studied the impacts of this new institutional form on the productivity of individual researchers. The purpose of this article is to begin to address how individual career strategies and perceptions of scientific work environments within university‐based science centers relate to the productivity of academic scientists who participate in these centers. In particular, this article investigates the relationships between productivity, individual career strategies, and perceptions of scientific work environment across gender. The results of the study demonstrate that university‐based science centers might serve as an equalizing mechanism for male and female productivity levels. Yet, women scientists affiliated with these centers are significantly more likely to feel discriminated against—and they are less likely to embrace the most promising career strategy for the current structure of these centers.     

Impossible Jobs or Impossible Tasks? Client Volatility and Frontline Policing Practice in Urban Riots

Various public administration jobs are described as “impossible,” meaning that they have an unpopular or illegitimate client base, stakeholders have conflicting values, and leaders and their agency's mission are continually questioned. Although this framework is widely used, it has also become overgeneralized. The authors propose three theoretical extensions to understanding impossible jobs based on findings from a three‐year multimethod study of riot policing. First, a distinction can be drawn between impossible jobs and impossible tasks. Second, the relationship between impossible jobs and street‐level bureaucracy is clarified; the case of riot police shows that some street‐level bureaucrats face impossible tasks. Third, the authors show that the conceptualization of the client base has been overly static—in some situations, the client base fractures, or grows rapidly, and legitimacy can change in real time.     

Local Labor Demand and Program Participation Dynamics: Evidence from New York SNAP Administrative Records

This study estimates the effect of local labor demand on the likelihood that Supplemental Nutrition Assistance Program (SNAP) beneficiaries are able to transition out of the program. Our data include SNAP administrative records from New York (2007 to 2012), linked at the person‐level to the 2010 Census, and linked at the county‐month‐level to industry‐specific labor market conditions. We find that local labor markets matter for the length of time spent on SNAP, but there is substantial heterogeneity in estimated effects across local industries. Using Bartik‐style instruments to isolate the effect of labor demand and controlling for the changing composition of entrants and program rules brought on by the Great Recession, we find that fluctuations in labor demand in industries with high shares of SNAP participants—especially food service and retail—change the likelihood of exiting the program. Notably, estimated industry effects vary across race and parental status, with black participants being most sensitive to changes in local labor market conditions and mothers benefiting less from growth in local labor demand than fathers and non‐parents. We confirm that our results are not driven by endogenous inter‐county mobility or New York City labor markets and are robust to multiple specifications.     

Productivity: The Missing Link in Enterprise Bargaining for the NSW Police

The promised productivity gains of enterprise bargaining have yet to be realised by the NSW Police Service and its staff. This failure can be traced to a lack of understanding of workplace reform and productivity. Karpin (1995:3) forecast that improvement in management skills in Australia was required for growth. Enterprise bargaining demands increased productivity. Productivity demands performance management, which involves increased accountability with the establishment of practical performance indicators. As such, productivity and performance management are interrelated and require clear objectives (Directions in Government 1992a:26).     

Causes of the growth of homelessness during the 1980s

Abstract

This article presents an analysis of the factors that predicted 1989 homelessness rates in large U.S. cities. Data were collected to describe homelessness rates in the 182 cities with populations over 100,000. In addition, variables were assembled to represent many factors that have been hypothesized to cause homelessness, including each city's housing and income conditions, household resources, employment conditions, employment structure, available public benefits, and cost of living. The researcher used regression analysis to assess the impact of each hypothesized causal factor on between‐city differences in 1989 homelessness rates for the 147 primary cities in the data set (excluding suburbs) and for subgroup breakouts based on level of manufacturing employment and population growth from 1980 to 1986. The article ends with a discussion of policy implications of the patterns discovered.     

Savings from integrating administrative systems for social assistance programmes in Russia

Russian local governments now have primary responsibility for the administration of social assistance programmes thanks to a combination of decentralization of some responsibilities from higher levels of government and the transfer of certain administrative functions from state enterprises to municipalities. Over the past few years, there has also been a distinct shift to means‐testing of social assistance. This article reports on the results of a pilot project undertaken to improve the efficiency of programme administration conducted in the city of Arzamas (pop. 110,000). The municipal administration promotes it as a programme to ease client burden and improve access to benefits. Specifically, the pilot introduced a unified application form for all the major social assistance programmes in the city and required, regardless of how many programmes are applied for, that applicants visit only one office and supply one set of documents verifying their eligibility for assistance. Benefit processing is also consolidated. Staff efficiency improvements are substantial: under the one‐window system, 127 benefits are processed per month per staff member, while 85 benefits were processed per month per staff member under the old administrative system. Impressive time savings for clients were also observed: the statistically average client saves between 1.3 and 2.4 hours, depending on the degree to which a client was able to coordinate documentation collection and trips to the benefit agencies under the old system. The total potential time saved by clients as a result of the one‐window reforms is between 4100 and 7600 person hours per month. Copyright © 2002 John Wiley & Sons, Ltd.