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Multidimensional Measure of Job Quality: Persistence and Heterogeneity in a Developing Country

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  • Federico Huneeus
  • Oscar Landerretche
  • Esteban Puentes

Abstract

We adapt the multidimensional poverty methodology to study job quality dynamics using a unique household survey panel for Chile. We use information on wages, type of contract, training and employment duration to build an aggregate job quality index. Panel data allow us to properly separate individual heterogeneity and true dependence. We estimate a dynamic panel with random effects finding higher job quality among larger and unionised firms. Moreover, labor history predicts job quality confirming the existence of persistence in job quality.

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Bibliographic Info

Paper provided by University of Chile, Department of Economics in its series Working Papers with number wp357.

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Length: 34 pages
Date of creation: May 2012
Date of revision:
Handle: RePEc:udc:wpaper:wp357

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Web page: http://www.econ.uchile.cl/
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References

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  1. Clark, Andrew E., 2005. "Your Money or Your Life: Changing Job Quality in OECD Countries," IZA Discussion Papers 1610, Institute for the Study of Labor (IZA).
  2. Freeman, Richard B, 1978. "Job Satisfaction as an Economic Variable," American Economic Review, American Economic Association, vol. 68(2), pages 135-41, May.
  3. Francis Green, 2001. "It's Been A Hard Day's Night: The Concentration and Intensification of Work in Late Twentieth-Century Britain," British Journal of Industrial Relations, London School of Economics, vol. 39(1), pages 53-80, 03.
  4. Maria Ana Lugo, 2007. "Employment: A Proposal for Internationally Comparable Indicators," Oxford Development Studies, Taylor & Francis Journals, vol. 35(4), pages 361-378.
  5. repec:hal:cesptp:halshs-00317280 is not listed on IDEAS
  6. Lea Cassar, 2010. "Revisiting Informality: Evidence from Employment Characteristics and Job Satisfaction in Chile," OPHI Working Papers ophiwp041, Queen Elizabeth House, University of Oxford.
  7. Jean-Yves Duclos & David E. Sahn & Stephen D. Younger, 2006. "Robust Multidimensional Poverty Comparisons," Economic Journal, Royal Economic Society, vol. 116(514), pages 943-968, October.
  8. Melanie K. Jones & Richard J. Jones & Paul L. Latreille & Peter J. Sloane, 2009. "Training, Job Satisfaction, and Workplace Performance in Britain: Evidence from WERS 2004," LABOUR, CEIS, vol. 23(s1), pages 139-175, 03.
  9. Bo E. Honoré & Ekaterini Kyriazidou, 2000. "Panel Data Discrete Choice Models with Lagged Dependent Variables," Econometrica, Econometric Society, vol. 68(4), pages 839-874, July.
  10. Jeffrey M Wooldridge, 2002. "Simple solutions to the initial conditions problem in dynamic, nonlinear panel data models with unobserved heterogeneity," CeMMAP working papers CWP18/02, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
  11. Carro, Jesus M., 2007. "Estimating dynamic panel data discrete choice models with fixed effects," Journal of Econometrics, Elsevier, vol. 140(2), pages 503-528, October.
  12. A. Atkinson, 2003. "Multidimensional Deprivation: Contrasting Social Welfare and Counting Approaches," Journal of Economic Inequality, Springer, vol. 1(1), pages 51-65, April.
  13. Bourguignon, F. & Chakravarty, S.R., 1998. "The Measurement of Multidimensional Poverty," DELTA Working Papers 98-12, DELTA (Ecole normale supérieure).
  14. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-66, May.
  15. Basch, Michael & Paredes-Molina, Ricardo D., 1996. "Are there dual labor markets in Chile?: empirical evidence," Journal of Development Economics, Elsevier, vol. 50(2), pages 297-312, August.
  16. Mark B. Stewart, 2007. "The interrelated dynamics of unemployment and low-wage employment," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(3), pages 511-531.
  17. Günther, Isabel & Launov, Andrey, 2012. "Informal employment in developing countries," Journal of Development Economics, Elsevier, vol. 97(1), pages 88-98.
  18. Dante Contreras, 2003. "Poverty and Inequality in a Rapid Growth Economy: Chile 1990-96," Journal of Development Studies, Taylor & Francis Journals, vol. 39(3), pages 181-200.
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Cited by:
  1. Paolo Falco & Luke Haywood, 2013. "Entrepreneurship versus Joblessness: Explaining the Rise in Self-Employment," Discussion Papers of DIW Berlin 1334, DIW Berlin, German Institute for Economic Research.

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