Three Papers in Labor Mobility and Human Capital Accumulation
Acosta, Pablo
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Permalink
https://hdl.handle.net/2142/85569
Description
Title
Three Papers in Labor Mobility and Human Capital Accumulation
Author(s)
Acosta, Pablo
Issue Date
2006
Doctoral Committee Chair(s)
Kevin Hallock
Department of Study
Economics
Discipline
Economics
Degree Granting Institution
University of Illinois at Urbana-Champaign
Degree Name
Ph.D.
Degree Level
Dissertation
Keyword(s)
Economics, Labor
Language
eng
Abstract
"This dissertation addresses the determinants of labor mobility, its impact in human capital accumulation, and the role played by human capital accumulation in the income distribution. Each topic is analyzed using different case studies: the first one is answered using personnel records from a large U.S. firm; the second one looking at the migrant remittances impact in El Salvador; and the third one using nationally representative household surveys from Argentina. The first chapter contributes to the literature on intra-firm job mobility by focusing on the determinants of career advancement in a U.S firm. The main contribution indicates that past career advancement does not result in a higher probability of subsequent promotion in this firm. Moreover, new hires appear to have an advantage when competing with incumbents for a higher position. The differences in promotion dynamics perceived among single and multiple promoted workers, suggests either that individuals are ""promoted to their level of incompetence,"" or that workers' incentive to ""over-produce"" may decline after reaching the desired higher position. The second chapter presents evidence on the economic effects of international remittances on households' spending decisions in El Salvador. Remittances can increase the household budget and reduce liquidity constraint problems. The main result of this chapter suggests that girls and young boys from recipient households are more likely to be enrolled in school than those from non-recipient households. Remittances are also negatively related to child labor and adult female labor supply, while on average adult male labor force participation remains unaffected. In other words, the evidence shows gender differences in the use of remittances across households. Finally, the third chapter attempts to explain the increase in skill premium in Argentina. Capital accumulation can modify the relative productivity between skilled and unskilled workers, leading to changes in the wage structure. In particular, if capital goods are relatively more complementary to skilled workers, a positive correlation between investment in physical capital and the wage premium would be expected. The results are consistent with this hypothesis, as the wage premium for skilled workers increased more in those industries with higher investment in machinery and equipment."
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