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on Informal and Underground Economics |
| By: | Claudio Deiana (University of Cagliari and University of Essex); Ludovica Giua (University of Cagliari and University of Essex); Roberto Nisticò (University of Naples Federico II, CSEF and IZA) |
| Abstract: | This paper establishes a new fact about immigration policies: legalization has long- term effects on formal employment of undocumented immigrants and their assimilation. We exploit the broad amnesty enacted in Italy in 2002 together with rich survey data collected in 2011 on a representative sample of immigrant households to estimate the effect of regularization in the long run. Immigrants who were not eligible for the amnesty have a 14% lower probability of working in the formal sector a decade later, are subject to more severe ethnic segregation on the job and display less linguistic assimilation than their regularized counterparts. |
| Keywords: | Undocumented immigrants; Amnesty program; Formal employment; Discrimination; Segregation |
| JEL: | J15 J61 K37 |
| URL: | http://d.repec.org/n?u=RePEc:csl:devewp:480&r=iue |
| By: | Richard Audoly |
| Abstract: | I study the labor market risks associated with being self-employed. I document that the self-employed are subject to larger earnings fluctuations than employees and that they frequently transition into unemployment. Given that the self-employed are not eligible to unemployment insurance, I analyze the provision of benefits targeted at these risks using a calibrated search model with (i) precautionary savings, (ii) work opportunities in paid and self-employment, and (iii) skill heterogeneity. This exercise suggests that extending the current U.S. unemployment insurance scheme to the self-employed comes with a clear increase in the transition rate from self-employment to unemployment and an unequal benefits-to-contributions ratio across skill groups. At the calibrated parameters, the self-employed in the middle of the skill distribution lose welfare. |
| Keywords: | self-employment; unemployment insurance; earnings dynamics |
| JEL: | J40 J64 J65 |
| Date: | 2024–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fednsr:97625&r=iue |
| By: | Cuccu, Liliana; Royuela, Vicente; Scicchitano, Sergio |
| Abstract: | This paper investigates the surge in Involuntary Part-Time (IPT) employment in Italy from 2004 to 2019, exploring its impact on various socio-economic groups and adopting a spatial perspective. Our study tests the hypothesis that technological shifts, specifically routine biased technological change (RBTC), and the expansion of household substitution services contribute to IPT growth. We uncover a widening negative gap in IPT prevalence among marginalized groups - women, young, and less skilled workers. After controlling for sector and occupation, the higher IPT propensity diminishes but remains significant, hinting at persistent discrimination. Additionally, segregation into more exposed occupations and sectors intensifies over time. Leveraging province-level indicators, and using a Partial Adjustment model, we find support for RBTC's correlation with IPT, especially among women. The impact of household substitution services is notably pronounced for women, highlighting sector segregation and gender norms' influence. |
| Keywords: | Involuntary part-time, Precarisation of labour, Automation |
| JEL: | J21 J24 O33 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:glodps:1374&r=iue |
| By: | Averett, Susan L. (Lafayette College); Bansak, Cynthia (St. Lawrence University); Condon, Grace (The Boston Consulting Group); Dziadula, Eva (University of Notre Dame) |
| Abstract: | Since 2001, about half of U.S. states have extended in-state college tuition benefits to undocumented immigrants. Some states have also offered financial aid, while others became more restrictive. Building on previous research, we exploit these additional policies, control for Deferred Action for Childhood Arrivals (DACA), and estimate the impact of in-state tuition on college enrollment, college graduation, employment, and self-employment. In our pooled sample of likely undocumented Hispanic youth, we corroborate the most recent work by also finding no effect of in-state tuition policies on enrollment. However, unlike previous studies, we allow for heterogeneity by gender and marital status and we demonstrate that there are gendered impacts. Women do not respond to in-state tuition. In contrast, men do enroll in college at higher rates regardless of financial aid opportunities. In-state tuition access results in higher graduation rates for women, driven by single women, but not for men. In terms of labor market attachment for undocumented youth, we find single women are more likely to work and single men to be self-employed when eligible for in-state tuition. Thus, the in-state policy motivates single women to complete their degrees and work. If policymakers intend to have a broader impact and target a more inclusive group of undocumented youth, including men, they should consider enhancing their opportunities in formal labor markets after college graduation. In support of this argument, we document a higher graduation and employment rates, along with lower self-employment rates, among DACA-eligible youth who have legal access to formal employment. |
| Keywords: | in-state tuition, undocumented immigrants |
| JEL: | J15 I22 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp16698&r=iue |
| By: | Carlos, Jean Clarisse T.; Gutierrez, Eylla Laire M.; Bautista, Marie Jel D. |
| Abstract: | Boracay Island, Malay, is one of the most popular tourist destinations in the Philippines. Over the years, its sustained growth as a top tourist destination has been substantially supported by the Island’s informal tourism sector, which is primarily women-dominated. While both men and women provide tourism products and services, differences are observed in their occupational choices and the options made available to them. For this reason, concerns about the sustainability of tourism development vis-à-vis gender inclusivity have been raised. To bridge this gap, this study investigated the involvement of women in the informal tourism of Boracay Island. This study specifically looked into their working conditions, their challenges and issues, and the national policies that govern and regulate their participation in the informal economy. The macro, meso, and micro dimensions of women’s involvement in the informal tourism economy were analyzed using the Women’s Economic Empowerment Framework. To do so, the authors conducted key informant interviews in three phases: first, with members of the local government units (LGUs) of the Municipality of Malay and the Boracay Island; second, with women informal workers serving in the food and beverages, souvenirs, excursions, and services sector in the Boracay Island; finally, with experts in tourism and informal economy at the national level. The study’s findings suggest that informal workers on the Island are organized, recognized, and registered under the LGU. Despite attempts to facilitate their transition to the formal economies, these women workers were found to prefer to operate under the informal economy for two reasons: first, their educational background forces them to engage in informal work to help provide for their families; second, their personal choice to engage in informal work given the flexible and convenient work arrangements it offers them. For these workers, concerns about their dependence on the seasonality of tourism activities prevailed. Policy recommendations are outlined to provide a better understanding of women’s involvement in the informal economies in Boracay Island. Comments to this paper are welcome within 60 days from the date of posting. Email publications@pids.gov.ph. |
| Keywords: | tourism;informal sector;gender and development;value chain analysis;inclusive growth |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:phd:dpaper:dp_2023-35&r=iue |