ECON Labour Economics Introduction. Maggie Jones

Transcription

1 ECON Labour Economics Introduction Maggie Jones

2 We acknowledge with respect the Lkwungen-speaking peoples on whose traditional territory the university stands and the Songhees, Esquimalt and WSANEC peoples whose historical relationships with the land continue to this day.

3 Syllabus Overview

4 Course Details Location: David Strong C118 Times: T/W/F 8:30am - 9:20am

5 Course Details Instructor: Maggie Jones Office: BEC 392 Office Hours: Wednesday 9:30am-10:30am Course Website: Response Hours: Monday & Thursday 11:00am-12:00pm ***Note: there will be no class on Tuesday, Sept 25th***

6 A Note on s I have outlined the times I will be responding to s Feel free to me with administrative questions Do not me with specific economics questions, but do come see me in office hours to discuss e.g. I am having difficulty with deriving part a of question 2, how do you set up the problem? e.g. Is this the right formula to use in question 3 of the assignment? e.g. I am having trouble understanding the concept we went over today in class, could you clarify for me? Please write professionally, e.g. begin with a salutation, include full sentences, avoid text message lingo (brb lol sry)

7 Course Goals 1 Work through the mathematical derivations and theory behind the labour market models presented 2 Interpret, analyze and critique basic labour market principles in economic journal articles and news articles I hope this class will shape the way you view the world and the way you analyze the news. Feel free to send me news/magazine articles you find interesting or relevant for the class and I will post them on the course website.

8 Textbook Note: I will post additional readings on the course website

9 Grading Scheme 1 Assignments: 2% each = 12% total points will be allotted based on whether or not you complete the assignment, not based on correct answers 2 Midterms: 20% each = 40% total will be held in class Oct 5th and Nov 7th 3 48% scheduled by the registrar s office at a later date

10 Outline 1 Introduction - what is labour economics? 2 Labour Supply - worker s side 3 Labour Demand - firm s side 4 Labour Demand and Supply Together - wages and employment in a single market 5 The Determination of Relative Wages - why are wages and employment different for different people?

11 Course Format Please do readings ahead of time I ll post slides ahead of time Includes blank slides that I will write on during lectures These filled in slides will be posted after class I encourage you to take your own notes in class and avoid the use of electronic devices mounting evidence that laptops are distracting for the person using them as well as the people around them... it s your call on how you want to take notes

12 Additional Info Academic Integrity: don t cheat! Accessibility: course materials are available in an accessible format or with appropriate communication supports upon request Please ask before taking a photograph of something in class (recall everything will be posted online) Accommodation: if you need any type of accommodations please contact the Centre for Accessible Learning as soon as possible

13 What is Labour Economics?

14 Labour economics is (loosely speaking) the study of the interactions of workers, firms, and governments

15 Labour Supply: Workers Decide: when or whether to enter the labour force how much education, training, and job search to undertake what occupation and industry to enter how many hours to work whether to move to a different region whether to have children what wage to demand

16 Labour Demand: Firms Decide: how many workers to hire what wage to offer how many hours to require what to outsource how to design an effective retirement or pension plan

17 External Forces: Governments Establish the environment in which workers and firms interact training to offer minimum wages income support pensions public sector jobs

18 Labour Markets The interaction of all actors leads to the determination of key labour market outcomes: wages, employment, unemployment, labour shortages The study of any one of the above (workers, firms, governments) components constitutes the study of labour economics

19 Why Study Labour Economics?

20 What Questions Do You Find Most Interesting In Labour Econ?

21 My Research in Labour Economics

22 Student Aid and the Distribution of Educational Attainment Study cutbacks to targeted post-secondary funding for Indigenous students that occurred in 1989 limited per-student funding decreased probability of receiving funding Use variation in expected cost of higher education across cohorts and ethnicities to evaluate 1 direct effect on post-secondary attainment 2 long-run effect on labour market outcomes 3 indirect effect on high school graduation

23 Changes in Educational Attainment Share Year of Graduation None High School Trade/Apprentice College University

24 Changes in Labour Market Treatment Effect Cohorts Since Cutbacks

25 The Slaughter of the Bison and Reversal of Fortunes on the Great Plains - with Donna Feir and Rob Gillezeau Historically, the people of the Great Plains were arguable the tallest people in the world (Prince and Steckel, 2001; 2003) Living standards comparable to English counterparts in the 19th century (Carlos and Lewis, 2010) Puzzle: Indigenous peoples of the Great Plains go from the wealthiest group on the continent to the poorest

26 We show that the destruction of the bison at the end of the 19th century had immediate and long run effects on the Indigenous peoples who relied on them 1 Height advantage is eliminated immediately after destruction (end of 19th century) 2 Robust negative relationship between bison-reliance and occupational rank, income, and nighttime light density throughout the 20th century Argue that the federal government s limitations on mobility and occupational diversification restricted the ability of bison-reliant nations to adjust in the long-run

27

28 Class Exercise *Note: minimum wage is $12.65/hour in BC Consider three tasks count the number of paper clips in a large jar clean the windows on a tall building help professor conduct lit review for their research If you are a * post-it note, you are an employer: what hourly wage would you pay someone to perform each of these tasks? If you are a * post-it note, you are a worker: what hourly wage would you accept to perform each of these tasks?