The author of this article provides an example of how one might incorporate behavioral economics into teaching macroeconomics or labor economics at an undergraduate level. The focus is on two macroeconomic concepts--wage determination and the Phillips curve--and shows that the implications and conclusions of both models differ from their textbook…

This paper reports that between 2008 and 2009, unemployment rates across OECD countries increased among people at all educational levels, but rose to especially troubling heights among people without an upper secondary education. In 2009, the average employment rate across OECD countries was much higher for individuals with a tertiary (i.e.…

The U.S. automotive industry has always been a cyclical business, but its near-collapse in 2008-09 and the subsequent bankruptcy of two of the three largest domestic automakers was more than a cyclical downturn. As light vehicle sales and production slowly recover, the industry has started to hire again, though with caution. In an industry known…

Using store-level and aggregated Consumer Price Index data, we show that restaurant prices rise in response to minimum wage increases under several sources of identifying variation. We introduce a general model of employment determination that implies minimum wage hikes cause prices to rise in competitive labor markets but potentially fall in…

This paper provides a longitudinal perspective on changes in Italian men's earnings inequality since the late 1970s by decomposing the earnings autocovariance structure into its long-term and transitory parts. Cross-sectional earnings differentials grew over the period and the longitudinal analysis shows that such growth was determined by the…

Across OECD (Organisation for Economic Cooperation and Development) countries, governments are having to work with shrinking public budgets while designing policies to make education more effective and responsive to growing demand. The 2011 edition of "Education at a Glance: OECD Indicators" enables countries to see themselves in the light of…

The implicit contract theory, a new explanation for the phenomena of involuntary unemployment, does not capture the salient characteristics of real work employment. By building on implicit contract theory, this paper takes into account circumstances ignored in the traditional model: (1) institutional characteristics of the labor market enhance…

An annual survey of college faculty salaries found an average rise of 3%, slightly more than the inflation rate. Some feel salary stagnation may be ending. Data are presented on pay vs. cost of living, full-time faculty salaries, gender differences, and average salaries, by faculty rank, at 1,900 institutions. (MSE)

A Comparable Wage Index (CWI) is an attractive mechanism for measuring geographic variations in the cost of education. A CWI measures uncontrollable variations in educator pay by observing systematic variations in the earnings of comparable workers who are not educators. Together, the 2000 census and the Occupational Employment Statistics survey…

This book examines the political and economic consequences of the United States' growing reliance on the market and the effects that this growing reliance is having on U.S. workers and their families. The following are among the topics discussed in the book's 10 chapters: (1) consequences of the turn to the market (disinvestment, imbalance between…

The different situations confronting young labor market entrants in different European countries may be described in terms of the following models: (1) the conditions of labor market entry are basically tied to the nature of the qualification acquired in initial training, experience accumulated in the labor market plays a very secondary role, and…

Surging demand for workers, growing income inequality, and passage of welfare reforms have made work force development one of the United States' key national concerns. Public/Private Ventures has been working with various states to design work force development strategies that seek to address the concerns of many work force development specialists…