Regional age structure and young workers' wages

"This paper estimates the effect that changes in the size of the youth population have on the wages of young workers. Assuming that differently aged workers are only imperfectly substitutable, economic theory predicts that individuals in larger age groups earn lower wages. We test this hypothes...

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Bibliographic Details
Main Authors: Garloff, Alfred Alexander, Roth, Duncan
Institution:ETUI-European Trade Union Institute
Format: TEXT
Language:English
Published: Nürnberg 2016
IAB
Subjects:
Online Access:https://www.labourline.org/KENTIKA-19106268124919244409-Regional-age-structure-and-you.htm
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author Garloff, Alfred Alexander
Roth, Duncan
author_facet Garloff, Alfred Alexander
Roth, Duncan
collection Library items
description "This paper estimates the effect that changes in the size of the youth population have on the wages of young workers. Assuming that differently aged workers are only imperfectly substitutable, economic theory predicts that individuals in larger age groups earn lower wages. We test this hypothesis for a sample of young, male, fulltime employees in Western Germany during the period 1999-2010. In contrast to other studies, functional rather than administrative spatial entities are used as they provide a more accurate measure of the youth population in an actual labour market. Based on instrumental variables estimation, we show that an increase in the youth share by one percentage point is predicted to decrease a young worker's wages by 3 %. Our results also suggest that a substantial part of this effect is due to members of larger age groups being more likely to be employed in lower-paying occupations."
format TEXT
geographic Germany
id 19106268124919244409_5edb43bfcfe94c1f82d7e1f42d2db2bd
institution ETUI-European Trade Union Institute
is_hierarchy_id 19106268124919244409_5edb43bfcfe94c1f82d7e1f42d2db2bd
is_hierarchy_title Regional age structure and young workers' wages
language English
physical 41 p.
Digital
publishDate 2016
publisher Nürnberg
IAB
spellingShingle Garloff, Alfred Alexander
Roth, Duncan
labour market analysis
population
wages
youth
Regional age structure and young workers' wages
thumbnail https://www.labourline.org/Image_prev.jpg?Archive=107086892526
title Regional age structure and young workers' wages
topic labour market analysis
population
wages
youth
url https://www.labourline.org/KENTIKA-19106268124919244409-Regional-age-structure-and-you.htm