Claudio Quintano and Paolo Mazzocchi
This article intends to investigate on the undeclared work (UW) by involving several features, which can be evaluated throughout a set of appropriate variables. The REBUS-PLS…
Abstract
Purpose
This article intends to investigate on the undeclared work (UW) by involving several features, which can be evaluated throughout a set of appropriate variables. The REBUS-PLS (Response Based procedure for detecting Unit Segments–Partial Least Squares) has been proposed in order to support policy decisions targeted to this heterogeneous scenario. The authors refer to Italy, due to the disparity of its territorial districts, but the conclusions can be extended to different European countries.
Design/methodology/approach
A total of 2,877,000 firms has been involved for empirical analysis. The manifest variables have been obtained by fixing both NACE codes and the NUTS2 level.
Findings
The analysis confirms that the model is suitable to evaluate the effects of the indicators connected to ‘Labour force’, ‘Tax system’, ‘Non-Profit Organizations’, and ‘Migrants’. Special prominence has been dedicated to the labour inspections' features.
Research limitations/implications
If the management designs the policy actions by using the model proposed, a critical evaluation of the implications is needed, by focusing different perspectives and several weaknesses.
Practical implications
Assuming that the Italian regions are relatively homogeneous, results reveal no significant correlations to the UW, except for the taxes. In contrast, the involvement of the heterogeneity shows that the UW significantly depends on the changes of Labour force, Tax system and NPOs dimensions, in 11 out of 18 Italian regions. No clear evidence emerges from Migrants feature, which seems to have a negatively impact on the UW.
Originality/value
To the authors' knowledge, compared to the previous research papers, the analysis of the UW via REBUS-PLS and the mentioned manifest variables, has never been undertaken so far.
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Claudio Quintano, Paolo Mazzocchi and Antonella Rocca
The purpose of this paper is to understand: whether the changes that have occurred in migrants’ conditions over time are smaller than the differences in their conditions existing…
Abstract
Purpose
The purpose of this paper is to understand: whether the changes that have occurred in migrants’ conditions over time are smaller than the differences in their conditions existing across countries; and whether the comparison between immigrants and native-born conditions allows the verification of the levels of disparities between them and, therefore, the relative disadvantage suffered by migrant. After a general overview of the 28 European Union countries, this paper analyses the changes that have occurred from 2006 to 2017 in the conditions of migrants in the labour market in the big five European countries (Italy, Spain, France, Germany and the UK).
Design/methodology/approach
Various statistical methodologies were used. First, to gain an overall picture, taking into account both the spatial and the temporal dimensions, dynamic factor analysis (DFA) was applied. Second, time-dependent and cross-sectional time-series models were estimated to better understand the DFA results.
Findings
The results highlight very different scenarios in terms of labour market vulnerabilities, both affecting immigrants and native-born workers. The results also highlight the existence of a very complex framework, due to the high heterogeneity of immigrants’ characteristics and labour market capacities to integrate migrants and also to promote good conditions for the native-born population.
Originality/value
The picture emerging from this study and the evaluation of the policies and legislation in force to cope with migration and to promote integration suggests some reflections on the most efficacious actions to take in order to improve migrants’ integration, counteracting social exclusion and promoting economic growth.
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Francesco Pastore, Claudio Quintano and Antonella Rocca
There is a long period from completing studies to finding a permanent or temporary (but at least satisfactory) job in all European countries, especially in Mediterranean…
Abstract
Purpose
There is a long period from completing studies to finding a permanent or temporary (but at least satisfactory) job in all European countries, especially in Mediterranean countries, including Italy. This paper aims to study the determinants of this duration and measure them, for the first time in a systematic way, in the case of Italy.
Design/methodology/approach
This paper provides several measures of duration, including education level and other criteria. Furthermore, it attempts to identify the main determinants of the long Italian transition, both at a macroeconomic and an individual level. It tests for omitted heterogeneity of those who are stuck at this important crossroads in their life within the context of parametric survival models.
Findings
The average duration of the school-to-work transition for young people aged 18–34 years was 2.88 years (or 34.56 months) in 2017. A shorter duration was found for the highly educated; they found a job on average 46 months earlier than those with compulsory education. At a macroeconomic level, the duration over the years 2004–2017 was inversely related to spending in the labour market policy and in education, gross domestic product growth and the degree of trade union density; however, it was directly related to the proportion of temporary contracts. At the individual level, being a woman, a migrant or living in a densely populated area in the South are the risk factors for remaining stuck in the transition. After correcting for omitted heterogeneity, there is clear evidence of positive duration dependence.
Practical implications
Positive duration dependence suggests that focusing on education and labour policy, rather than labour flexibility, is the best way to smooth the transition.
Originality/value
This study develops our understanding of the Italian school-to-work transition regime by providing new and detailed evidence of its duration and by studying its determinants.
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Francesco Pastore, Claudio Quintano and Antonella Rocca
The Italian school-to-work transition (STWT) is astonishingly slow and long in comparison to the other EU countries. We analyze its determinants comparing the Italian case with…
Abstract
Purpose
The Italian school-to-work transition (STWT) is astonishingly slow and long in comparison to the other EU countries. We analyze its determinants comparing the Italian case with Austria, Poland and the UK.
Design/methodology/approach
The analysis is based on a Cox survival model with proportional hazard. The smoothed hazard estimates allow us to identify the nonlinear path of the hazard function.
Findings
The authors reckon that the actual length of the transition to a stable job is around 30 months in Italy. Conversely, it is less than one year in the other countries. Women are particularly penalized, despite being on average more educated than men. Tertiary or vocational education at high secondary school strongly increases the hazard rate to a regular job. The smoothed hazard estimates suggest positive duration dependence at the beginning of the transition and slightly negative thereafter.
Practical implications
Stimulating economic growth and investing in education and training are important pre-conditions for shortening the transition.
Originality/value
Despite the duration of the STWT is one of the most important indicators to measure the efficiency of the STWT, it is not easy to measure. The authors build on their previous research work on this topic, but relaxing the assumption of a monotonic hazard rate and using the flexible baseline hazard approach to test for the existence of nonlinear duration dependence. Furthermore, they extend the analysis by including student-workers who attended a vocational path of education, in order to detect its effectiveness in allowing young people finding a job sooner.
Claudio Quintano and Paolo Mazzocchi
Several dimensions of public governance occur while approaching the Shadow Economy (SE) phenomenon. The purpose of this paper is to study the SE by means of the European…
Abstract
Purpose
Several dimensions of public governance occur while approaching the Shadow Economy (SE) phenomenon. The purpose of this paper is to study the SE by means of the European governance analysis by highlighting the main features of implications of the policy options. A statistical significance on the nexus between public governance and the SE appears with respect to the indicators taken into consideration except for the dimensions related to the tax system, which appear to be moderate in magnitude in terms of their effects.
Design/methodology/approach
In order to evaluate data from 32 European Union countries during 2011, a hierarchical component model (HCM) in the context of the structural equation model (SEM) partial least squares (PLS) is utilised. Two different procedures are considered: a two-stage approach (TSA) and the repeated indicators approach (RIA).
Findings
The two procedures (RIA and TSA) proposed in the model have about the same impact on the SE. Evidence suggests that the manifest variables joined to the regulatory system, business regulation and wealth level significantly affect the SE. In contrast, different dimensions connected to the tax system need to be considered to avoid that there be no significant effects on the SE from taxes.
Research limitations/implications
A critical evaluation of the policy implications of the results are included, by focusing on the effects on the SE.
Practical implications
This paper suggests where more emphasis should be placed when referring to the statistical results in dealing with the SE.
Originality/value
To the authors’ knowledge, this is the first attempt to explore the SE while using an HCM (also known as higher order model) performed in a SEM-PLS procedure. The model proposed discerns the relevance and the marginal impact of several dimensions of policy interventions.