The second edition of this acclaimed graduate text provides a unified treatment of two methods used in contemporary econometric research, cross section and data panel methods. By focusing on assumptions that can be given behavioral content, the book maintains an appropriate level of rigor while emphasizing intuitive thinking. The analysis covers both linear and nonlinear models, including models with dynamics and/or individual heterogeneity. In addition to general estimation frameworks (particular methods of moments and maximum likelihood), specific linear and nonlinear methods are covered in detail, including probit and logit models and their multivariate, Tobit models, models for count data, censored and missing data schemes, causal (or treatment) effects, and duration analysis. Econometric Analysis of Cross Section and Panel Data was the first graduate econometrics text to focus on microeconomic data structures, allowing assumptions to be separated into population and sampling assumptions. This second edition has been substantially updated and revised. Improvements include a broader class of models for missing data problems; more detailed treatment of cluster problems, an important topic for empirical researchers; expanded discussion of "generalized instrumental variables" (GIV) estimation; new coverage (based on the author's own recent research) of inverse probability weighting; a more complete framework for estimating treatment effects with panel data, and a firmly established link between econometric approaches to nonlinear panel data and the "generalized estimating equation" literature popular in statistics and other fields. New attention is given to explaining when particular econometric methods can be applied; the goal is not only to tell readers what does work, but why certain "obvious" procedures do not. The numerous included exercises, both theoretical and computer-based, allow the reader to extend methods covered in the text and discover new insights.

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Econometric Analysis of Cross Section and Panel Data

This paper comprehensively examined the linkages between systems of High Performance Work Practices and firm performance. Results based on a national sample of nearly one thousand firms indicate that these practices have an economically and statistically significant impact on both intermediate outcomes (turnover and productivity) and short- and long-term measures of corporate financial performance. Support for the predictions that the impact of High Performance Work Practices is in part contingent on their interrelationships and links with competitive strategy was limited.

https://papers.ssrn.com/sol3/Delivery.cfm/SSRN_ID1803666_code1640113.pdf?abstractid=1803666&mirid=5&type=2

The Impact of Human Resource Management Practices on Turnover, Productivity, and Corporate Financial Performance

This study comprehensively evaluated the links between systems of High Performance Work Practices and firm performance. Results based on a national sample of nearly one thousand firms indicate that these practices have an economically and statistically significant impact on both intermediate employee outcomes (turnover and productivity) and short- and long-term measures of corporate financial performance. Support for predictions that the impact of High Performance Work Practices on firm performance is in part contingent on their interrelationships and links with competitive strategy was limited. The impact of human resource management (HRM) policies and prac

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The Impact Of Human Resource Management Practices On Turnover, Productivity, And Corporate Financial Performance

This paper considers causal inference and sample selection bias in nonexperimental settings in which (i) few units in the nonexperimental comparison group are comparable to the treatment units, and (ii) selecting a subset of comparison units similar to the treatment units is difficult because units must be compared across a high-dimensional set of pre-treatment characteristics. We discuss the use of propensity score-matching methods, and implement them using data from the National Supported Work experiment. Following LaLonde (1986), we pair the experimental treated units with nonexperimental comparison units from the CPS and PSID, and compare the estimates of the treatment effect obtained using our methods to the benchmark results from the experiment. For both comparison groups, we show that the methods succeed in focusing attention on the small subset of the comparison units comparable to the treated units and, hence, in alleviating the bias due to systematic differences between the treated and compariso...

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Propensity score-matching methods for nonexperimental causal studies

Part 1 Unemployment in the model of balanced growth: the labour market long-run equilibrium and balanced growth adjustment dynamics. Part 2 further ananlysis of the labour market: search intensity and job advertising.

Equilibrium Unemployment Theory

In this paper we review the research evidence on the effects of affirmative action in employment, university admissions and government procurement. We consider effects on both equity (or distribution) as well as efficiency. Overall, we find that affirmative action does redistribute jobs, university admissions and government contracts away from white males towards minorities and females, though the overall magnitudes of these shifts are relatively modest. We also find that affirmative action shifts jobs and university admissions to minorities who have weaker credentials, but there is little solid evidence to date of weaker labor market performance among its beneficiaries. While those students admitted to universities under affirmative action have weaker grades and higher dropout rates than their white counterparts at selective schools, they seem to benefit overall in terms of higher graduation rates and later salaries. Affirmative action also
generates positive externalities for the minority and low-income communities (in terms of better medical services and labor market contacts), and perhaps for employers and universities as well. More research on a variety of these issues is also clearly needed.

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Affirmative action: What do we know?

By several recent counts, the United States is home to 2 to 3 million youth age 16 through 24 who are out of school and out of work Much has been written on disadvantaged youth, and government policy has gone through many incarnations, yet questions remain unanswered. Why are so many young people ?disconnected,? and what can public policy do about it? And why has disconnection become more common for young men?particularly African-American men and low-income men?than for young women? In Reconnecting Disadvantaged Young Men, Edelman, Holzer, and Offner offer analysis and policy prescriptions to solve this growing crisis. They carefully examine field programs and research studies and recommend specific strategies to enhance education, training, and employment opportunities for disadvantaged youth; to improve the incentives of less-skilled young workers to accept employment; and to address the severe barriers and disincentives faced by some youth, such as ex-offenders and noncustodial fathers. The result is a clear guidebook for policymakers, and an important distillation for anyone interested in the plight of today?s disconnected youth. With a foreword by Hugh Price, former President and CEO, National Urban League

Reconnecting Disadvantaged Young Men

We use data from a survey of employers to investigate how Affirmative Action in recruiting and hiring influences hiring practices, personnel policies, and ultimately employment outcomes Our results show that Affirmative Action increases the number of recruitment and screening practices used by employers, raises their willingness to hire stigmatized applicants, increases the number of minority or female applicants as well as employees, and increases employers' tendencies to provide training and to formally evaluate employees When Affirmative Action is used in recruiting, it does not lead to lower credentials or performance of women and minorities hired When it is also used in hiring, it yields female and minority employees whose credentials are somewhat weaker, though performance generally is not Over than, the more intensive search, evaluation, and training that accompany Affirmative Action appear to offset any tendencies of the policy to lead to hiring of less-qualified or less-productive women and minorities

What Does Affirmative Action Do

What Employers Want: Job Prospects for Less-Educated Workers

Recent studies have consistently found that in the United States, black job applicants are hired at a greater rate by establishments with black hiring agents than by those with white hiring agents. The results of this examination of data from the 1992–94 Multi-City Employer Survey suggest two proximate reasons for this pattern: black hiring agents receive applications from blacks at greater rates than do white hiring agents, and they hire a greater proportion of blacks who apply. The authors suggest that moving more blacks into positions with hiring authority within firms might help to alleviate the persistent unemployment difficulties of African Americans.

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Harry J. Holzer

Papers

Affirmative action: What do we know?

Reconnecting Disadvantaged Young Men

What Does Affirmative Action Do

What Employers Want: Job Prospects for Less-Educated Workers

Black Job Applicants and the Hiring Officer's Race