Keith Bender and Ioannis Theodossiou
Since the literature on the effect of the unemployment rate as reflection of economic fluctuations on crime shows an empirically ambiguous effect, the purpose of this paper is to…
Abstract
Purpose
Since the literature on the effect of the unemployment rate as reflection of economic fluctuations on crime shows an empirically ambiguous effect, the purpose of this paper is to argue that a new way of modeling the dynamics of unemployment and crime by focussing on the transitory and persistent effect of unemployment on crime helps resolve this ambiguity.
Design/methodology/approach
Panel data for US states from 1965 to 2006 are examined using the Mundlak (1978) methodology to incorporate the dynamic interactions between crime and unemployment into the estimation.
Findings
After decomposing the unemployment effect on crime into a transitory and persistent effect, evidence of a strong positive correlation between unemployment and almost all types of crime rates is unearthed. This evidence is robust to endogeneity and the controlling for cross-panel correlation and indicators for state imprisonment.
Originality/value
The paper is the first to examine the dynamics of the interaction of crime and economic fluctuations using the temporary and persistent effects framework of Mundlak (1978). In one set of estimates, one can evaluation both the short- and long-run effects of changes of unemployment on crime.
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Recently some interest has developed in examiningthe wage determination process for manual andnon‐manual workers. However, no publisheddisaggregated series exists long enough to…
Abstract
Recently some interest has developed in examining the wage determination process for manual and non‐manual workers. However, no published disaggregated series exists long enough to permit any econometric investigation requiring large sample properties. A disaggregated average earnings series of quarterly observations is presented derived from 18 annual observations published by the British New Earnings Survey.
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Athina Economou, Agelike Nikolaou and Ioannis Theodossiou
The purpose of this paper is to investigate the effects of national unemployment rates on overall age and cause‐specific mortality rates in a panel sample of 13 European Union…
Abstract
Purpose
The purpose of this paper is to investigate the effects of national unemployment rates on overall age and cause‐specific mortality rates in a panel sample of 13 European Union countries.
Design/methodology/approach
A fixed‐effects model is used to control for unobserved time‐invariant characteristics within countries. In addition, controls such as lifestyle risk factors, urbanisation and medical intervention indicators, for potential confounders are used.
Findings
Contrary to some recent evidence this study shows that there is a strong, positive relationship between adverse economic conditions and mortality. This is in contrast to findings about the US case.
Originality/value
This paper revisits the issue of the unemployment‐mortality relationship by utilising fixed effect models with controls for various indicators that are expected to affect mortality, in contrast to previous studies.
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Ioannis Theodossiou and Grigoris Zarotiadis
The purpose of this paper is to examine the distribution of labor market experience among the unemployed in a less developed area in Greece (the north‐western region of Epirus)…
Abstract
Purpose
The purpose of this paper is to examine the distribution of labor market experience among the unemployed in a less developed area in Greece (the north‐western region of Epirus), where unemployment has severe detrimental repercussions on the local workforce.
Design/methodology/approach
The paper uses a dataset, obtained through purpose built questionnaires used to assist the local authority in carrying out a regional, pilot, active labor market policy project financed by the European Commission and the Greek Government.
Findings
An ordinary least square regression was applied correcting for incidental truncation, in order to show that the duration of the prior unemployment spell negatively affects the duration of the current employment spell and vice versa, which highlights the phenomenon of an “unemployment trap”. Furthermore, those personal and socioeconomic characteristics which are responsible for causing jobless individuals to be “trapped” in the unemployment state are identified. Workers aged above 45, women, employees in sales and other service occupations, face significantly shorter complete spells of employment, along with longer duration of unemployment, hence suffering from self‐reinforcing unemployment.
Originality/value
The results show that a “scarring effect” appears to be in operation, as the duration of prior unemployment spell has deleterious effects on the duration of the subsequent employment and vice versa. This evidence provides additional insights for policymakers, who design measures for individuals vulnerable to unemployment in the less developed regions of the European Union.
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Kyriaki Argyro Tsioptsia, Ioannis Mallidis, Thomas Siskou and Nikolaos Sariannidis
This paper aims to examine the impact of the Greek economic crisis on the sustainability of the Turkish economy.
Abstract
Purpose
This paper aims to examine the impact of the Greek economic crisis on the sustainability of the Turkish economy.
Design/methodology/approach
A generalized autoregressive conditional heteroskedasticity (GARCH) model is used over the Thomson Reuter’s Turkey Index for the period of May 1999 to August 2018 using monthly data. The control variables introduced in the proposed model are the S&P 500 of the US stock market and crude oil prices which are used to isolate more general systemic factors.
Findings
The structural analysis of volatility with the EGARCH model has shown that current volatility is more influenced by past volatility than by previous month shocks.
Research limitations/implications
The results can be exploited by investors, portfolio managers and policy makers in their decision-making process.
Originality/value
It is a first-time effort that examines the impact of the Greek economic crisis on the sustainability of the Turkish economy. The developed methodology can be used by investors, portfolio managers and policy makers in their decision-making process.
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Nelly‐Eleni Pavlidou, Persefoni V. Tsaliki and Ioannis N. Vardalachakis
This paper aims to contribute to the open, theoretical debate upon the effects of technical change on the production and labor process.
Abstract
Purpose
This paper aims to contribute to the open, theoretical debate upon the effects of technical change on the production and labor process.
Design/methodology/approach
The “optimistic” approach, which connects the compensation mechanisms and human capital theory, is compared to the dynamic approach of the labor process. Recent Labor Force Survey data are used to identify the trends and characteristics of labor markets in G‐7 countries.
Findings
In all G‐7 countries, unemployment is present and deepening in the last two decades, whereas any employment growth observed is mainly associated with part‐time, temporary, low‐paid and vulnerable jobs. Moreover, any rise in employment rates refers rather exclusively to unskilful labor.
Practical implications
Neither the increase in effective demand (high growth rates), nor the relaxation of labor market rigidities could lead to a sufficient employment growth that would evade unemployment. In addition, the increased investment in human capital failed to upscale workers' position in the production process.
Originality/value
The value of this paper lies in its acknowledgement that an effectual policy agenda for labor‐related issues should break apart from conventional beliefs that the increase in flexibility of labor market, the abolishment of asymmetries in supply and demand of labor skills and the enhancement of economy's effective demand could cope and provide a solution to current labor market hazards.