Department of Economics and Finance
Università Cattolica di Milano,
Largo Gemelli 1, 20123 Milano
Information about this author at RePEc
NBER Working Papers and Publications
|September 2015||Country-Specific Preferences and Employment Rates in Europe|
with Giovanni Peri: w21561
European countries exhibit significant differences in employment rates of adult males. Differences in labor-leisure preferences, partly determined by cultural values that vary across countries, can be responsible for part of these differences. However, differences in labor market institutions, productivity, and skills of the labor force are also crucial factors and likely correlated with preferences. In this paper we use variation among first- and second-generation cross-country European migrants to isolate the effect of culturally transmitted labor-leisure preferences on individual employment rates. If migrants maintain some of their country of origin labor-leisure preferences as they move to different labor market conditions, we can separate the impact of preferences from the effect of o...