By David Card, Richard B. Freeman
This quantity, the 1st in a brand new sequence through the nationwide Bureau of financial study that compares exertions markets in several nations, examines social and hard work marketplace guidelines in Canada and the U.S. in the course of the Nineteen Eighties. It exhibits that refined transformations in unemployment repayment, unionization, immigration regulations, and source of revenue upkeep courses have considerably affected monetary results within the international locations. for instance: -Canada's social safeguard internet, extra beneficiant than the yank one, produced markedly decrease poverty premiums within the Eighties. -Canada observed a smaller raise in gains inequality than the U.S. did, partly as a result of energy of Canadian unions, that have two times the participation that U.S. unions do. -Canada's unemployment figures have been a lot better than these within the usa, now not as the Canadian economic climate didn't create jobs yet simply because the next percent of nonworking time was once suggested as unemployment. those disparities became noteworthy as coverage makers cite the stories of the opposite nation to help or oppose specific projects.
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Extra info for Small Differences That Matter: Labor Markets and Income Maintenance in Canada and the United States (National Bureau of Economic Research--Comparative Labor Markets Series)
I use two different specifications for the vector X. The first includes an intercept, age, and age squared, while the second adds education, marital status, whether the individual lives in a metropolitan area, and whether the individual's health limits work (available only for the United States). S. 21) Yes Notes: The t-ratios are reported in parentheses. The vector X in the regressions underlying the estimates in column 1 includes age and age squared. The regressions in column 2 add education, marital status, metropolitan residence, and an indicator of whether health limits work (available only in the United States).
S. 126 8The difference between Canada and the United States is significantly different from zero at the 5 percent level. 6 years. 2 years for immigrants from Belgium. The relative wage of immigrants exhibits similar dispersion across national origin groups. 46 (Belgian immigrants) in the United States. As suggested by these descriptive data, there is a very strong correlation between the skills of national-origin groups in Canada and the skills of the corresponding group in the United States. 6 presents regressions that describe the relationship between the skills of national-origin groups across host countries.
George J. 6 provide one very interesting insight. For the post-1965 cohorts, with only one exception, the slope coefficient PI is insignificantly different from unity, and the intercept is insignificantly different from zero. 8. These results imply that the expected skills or wages of a specific national-origin group in Canada and the United States (in the 1965-80 period) are identical. There is no evidence, therefore, to suggest that the point system generated a more skilled flow into Canada from within a source country.