Working papers results

In 2011, Italy introduced board gender quotas in listed companies. Comparing within firms before-after reform changes, we document that quotas are associated with a higher share of female board directors, with higher levels of education of board members and a lower share of elderly members. We then use the reform period as an instrument for the share of female directors and find no significant impact on firms’ performance. Interestingly, we find that the share of female directors is associated to a lower variability of stock market prices. We also run event studies on the stock price reaction to the introduction of gender quotas. A positive effect of the quota law on stock market returns emerges at the date of board’s election. Our results are consistent with gender quotas inducing a beneficial renovation of the board, which is positively received by the market.

We theoretically show that when mothers need to buy childcare services not only if they work but also if they want to search actively for a job, a reduction in the price of childcare will increase their likelihood of searching but may decrease their willingness to accept a job offer and therefore lower employment. We test these predictions empirically by means of a Regression Discontinuity design and find that the introduction in Italy of pre-kindergarten, a much cheaper alternative to day care for 2-year-old children, increased both participation in the labour market and employment of mothers of eligible children. This effect was driven largely by a significant decrease in the stated reservation wage. For a full evaluation of the policy we finally provide evidence that pre-kindergarten did not affect children’s cognitive development as measured at second grade.

In this paper, we exploit pension reform-induced changes in retirement eligibility requirements to assess the role of grandparental child care availability in the employment of women who have children under 15. We focus on Italy for two reasons: first, it has low rates of female employment and little formal child care provision, and second, it has undergone several pension reforms in a relatively short time span. Our analysis shows that, among the women studied, those whose own mothers are retirement eligible have a 13 percent higher probability of being employed than those whose mothers are ineligible. The pension eligibility of maternal grandfathers and paternal grandparents, however, has no significant effect on the women’s employment probability. We also demonstrate that the eligibility of maternal grandmothers mainly captures the effect of their availability for child care. Hence, pension reforms, by potentially robbing households of an important source of flexible, low-cost child care, could have unintended negative consequences for the employment rates of women with children.

This paper investigates the extent to which attitudes are affected by political regimes and government policies. We focus on female attitudes toward work and gender-role attitudes in the population at large, which have been shown to have significant effects on labor market outcomes. We exploit the imposition of state-socialist regimes across Central and Eastern Europe, and their efforts to promote women’s economic inclusion, for both instrumental and ideological reasons, presenting evidence from two different datasets. First, we take advantage of the German partition into East and West after 1945 and unique access to restricted information on place of residence to implement a spatial regression discontinuity design. We find more positive attitudes toward work in the sample of East German women. We also find evidence that increased female access to higher education and fulltime employment, arguably two of the very few positive aspects of living under state-socialism, may have served as channels for regime influence. Second, we employ a difference-in-differences strategy that compares attitudes formed in Central and Eastern European countries (CEECs) and Western European Countries (WECs), before and after the imposition of state socialism in CEECs. Gender-role attitudes formed in CEECs during the state socialist period appear to be significantly less traditional than those formed in WECs.

We study a setting where anti-discrimination legislation gives rise to adverse selection in the labor market. Firms rely on nonlinear compensation contracts to screen workers who differ in their family/career orientation. This results in a la- bor market equilibrium where career-oriented workers are offered an inefficiently low duration of parental leave. In addition, family-oriented workers are offered lower wages as compared to their equally skilled career-oriented counterparts. We demonstrate the usefulness of mandatory parental leave rules in mitigating the distortion in the labor market and derive conditions under which a Pareto im- provement is possible. We also characterize the optimal parental leave policy and highlight the possibility for parental leave legislation to eliminate the wage penalty of family-oriented workers by supporting pooling employment contracts.

Education is a key sociological variable in the explanation of health and health disparities. Conventional wisdom emphasizes a life course-human capital perspective with expectations of causal effects that are quasi-linear, large in magnitude for high levels of educational attainment, and reasonably robust in the face of measured and unmeasured explanatory factors. In this paper, we challenge this wisdom by offering an alternative theoretical account and an empirical investigation organized around the role of measured and unmeasured cognitive and non-cognitive skills as confounders in the association between educational attainment and health. Based on longitudinal data from the National Longitudinal Survey of Youth – 1997 spanning mid adolescence through early adulthood, results indicate that a) effects of educational attainment are very vulnerable to issues of omitted variable bias; b) that measured indicators of cognitive and non-cognitive skills account for a significant proportion of the traditionally observed effect of educational attainment; c) that such skills have effects larger than that of even the highest levels of educational attainment when appropriate controls for unmeasured heterogeneity are incorporated; and d) that models that most stringently control for such time-stable abilities show little evidence of a substantive association between educational attainment and health. Implications for theory and research are discussed.

This article analyzes the relative level and evolution of the net nutritional status of manufacturing workers and craftsmen born in the last third of the eighteenth century in central Spain. It uses the anthropometric and occupational data included in the records of the general conscription carried out during the Napoleonic invasion. The findings are interpreted in light of the recent contributions made regarding the evolution of the economy and industrial products of central Spain during the second half of the eighteenth century. Significant differences can be observed between the different professions and economic sectors, largely explained by income levels, a possible selection for some occupations in accordance with physical characteristics, and access to animal proteins. Furthermore, the data also reveal an overall decrease in height and an increase in inequality between professions during the period.

How do tax incentives affect firms’ investment? Using confidential UK corporation tax returns, we provide new evidence on the effects of incentives in the form of depreciation allowances. We exploit a 2004 exogenous change in the qualifying thresholds for the first-year depreciation allowances (FYAs) and conduct a difference-in-difference analysis. Results suggest that the investment rate increased between 2.1 and 2.6 percentage points when firms became qualified for FYAs, relative to firms that never qualified. This implies an increase in investment rate of 11 percent at the mean. We exploit exogenous variation in the timing of tax payments to show that this large effect is not due to an increase in available cash and hence, this is primarily a cost of capital effect. Firms respond rather quickly to FYAs, within 12 to 18 months. Firms also bunch just below notches in the cost of capital created by the qualifying thresholds, suggesting salience of the FYAs. Such behaviour does not drive our main results.

This article provides a general chronology of Italian famines, incorporating earlier chronologies as well as recent research on preindustrial mortality crises and covering the whole period from circa 1250 to 1810. Hypotheses about the occurrence of famines are tested using the largest-existing database of time series of burials, covering northern Italy and part of central Italy, as well as a database of time series of wheat prices covering the whole of the Peninsula. The role played by food provisioning institutions is briefly detailed and a summary discussion of the causative factors of famines is provided. We argue that the majority of the most severe medieval and early modern famines happen when a situation of high demographic pressure on the available resources couples with periods of meteorological instability of the kind unfavorable to wheat crops, and the crisis is so widespread that institutions are unable to provide effective remedies.

This paper analyzes how advanced Medieval and Early Modern Italian economies attempted to cope with famines. First, it provides an overview of the occurrence of famines and food shortages in Italy from the fifteenth to the seventeenth century, underlining the connections with overall climatic and demographic trends. Second, it focuses on the 1590s famine (the worst to affect Italy in the period), providing a general discussion and interpretation of its causes and characteristics, and describing and evaluating the strategies for coping with the crisis that developed within the Republic of Genoa and the Duchy of Ferrara. The article argues that when such a large-scale food crisis as that of the 1590s occurred, public action played a key role in providing relief.