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...olicy makers. Theseconomics of the family suggests that children’s educational achievement is related tosfamily size, and that there is a trade off between child quantity and ‘quality’ (Becker,s1960; =-=Becker and Lewis, 1973-=-), where child ‘quality’ is proxied by educational outcomes.sA number of arguments also suggest that siblings are unlikely to receive equal shares ofsthe resources devoted by parents to their children...

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..., the youngest of 5 kids, the middle ofs6+ kids, and the youngest of 6+ kids.sinputs as both parents and older siblings spend time with the last born child (Behrman andsTaubman, 1986; Birdsall, 1991; =-=Hanushek, 1992-=-).sLife cycle effects can also matter. If parents are young at first birth they may also bespoorer than they will be later in the life cycle, and hence resources might be lower for firstsborn children...

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...he low paid is instead imperfectly competitive and workers are creditsconstrained, then a minimum wage can increase investment in the general component ofstraining (Stevens 1994; Chang and Wang 1996; =-=Acemoglu and Pischke 1999-=-; Booth andsZoega 2004).3 This arises because the monopsonistic character of the labour marketsintroduces a ‘wedge’ between the wage and the marginal product. If this wedge increasesswith general trai...

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...cipation of the results, it is useful to define the competitive benchmark where the market wage rate equals marginal product; w = α. Let V denote the value of employment in that case V (α, b) = max l∈=-=[0,1]-=- [αl − b[x(1)− x(1− l)]] , which is the (maximised) value of earnings net of foregone home production. As the worker prefers pure home production if ci > V for all i, the worker’s participation probab...

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...r wages. If theslabour market for the low paid is instead imperfectly competitive and workers are creditsconstrained, then a minimum wage can increase investment in the general component ofstraining (=-=Stevens 1994-=-; Chang and Wang 1996; Acemoglu and Pischke 1999; Booth andsZoega 2004).3 This arises because the monopsonistic character of the labour marketsintroduces a ‘wedge’ between the wage and the marginal pr...

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... known that the children of wealthy parents receive more and better quality schooling thanschildren of poorer families, and that the family environment is also important (see inter alia the survey bys=-=Bowles and Gintis, 2002-=-, and references therein). Our goal here is additionally to look at intra-familysdifferences while controlling for family wealth and the family environment. These factors are encapsulatedsin W.sorder ...

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...alam et al. 2004b, Bassanini et al. 2005sand references therein). It is also well-documented that work-related training has a positiveseffect on wages and year-on-year wages growth (see the survey by =-=Blundell et al. 1999-=-).sAlthough to our knowledge no research has documented variation in the incidence of workrelated training across the hourly wages distribution, we did report in Arulampalam et al.s(2003b: Appendix Ta...

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...eslabour market for the low paid is instead imperfectly competitive and workers are creditsconstrained, then a minimum wage can increase investment in the general component ofstraining (Stevens 1994; =-=Chang and Wang 1996-=-; Acemoglu and Pischke 1999; Booth andsZoega 2004).3 This arises because the monopsonistic character of the labour marketsintroduces a ‘wedge’ between the wage and the marginal product. If this wedge ...

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...el data, that trainingshas statistically significant positive effects that do not seem to decline over our seven-yearsestimating period. In Section 12.3, we summarize the results of our earlier works(=-=Arulampalam et al. 2004-=-a; Bryan 2005) that uses difference-in-difference methods tosestimate whether or not the 1999 introduction of the national minimum wage in Britain hadsan adverse effect on the training of low-paid wor...

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...ies have using British data to estimate thesemployment effects of the national minimum wage. These find that the introduction of thesminimum wage has had no adverse effects on employment overall (see =-=Stewart 2004-=-),salthough small employment losses have been detected in one heavily affected sector, careshomes (Machin, Manning and Rahman 2003). Moreover, while Draca, Machin and VansReenen (2006) find some evide...

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...h as whether orsnot workers are credit constrained, the existence of training contracts and the mix of generalsand specific training, the overall effect of a minimum wage can be to increase trainings(=-=Acemoglu and Pischke 2003-=-). These differing predictions about training parallel the familiarspredictions about employment. In a perfectly competitive labour market a minimum wage isslikely to destroy jobs, while in an imperfe...

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...of the national minimum wage on training receipt. Indeed to oursknowledge the only empirical work in this area prior to our own was undertaken for the USs(see Schiller 1994, Neumark and Waschers2001, =-=Grossberg and Sicilian 1999-=-, Acemoglu andsPischke 2003, and for a summary see Arulamapalam et al. 2003a).sIn the remainder of this section, we discuss the results of our earlier work usingsrepresentative British survey data to ...

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...approach provides an unbiased estimate of the degree of labor market discrimination at the hiring stage. In the case of gender, such an approach has been carried out in several previous studies (e.g. =-=Levinson 1975-=-; Riach and Rich 1987; Neumark 1996; Riach and Rich 2006). The audit discrimination technique has also been used to measure discrimination on the basis of ethnicity/race, age, obesity, having a crimin...

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...middle of 5 kids, the youngest of 5 kids, the middle ofs6+ kids, and the youngest of 6+ kids.sinputs as both parents and older siblings spend time with the last born child (Behrman andsTaubman, 1986; =-=Birdsall, 1991-=-; Hanushek, 1992).sLife cycle effects can also matter. If parents are young at first birth they may also bespoorer than they will be later in the life cycle, and hence resources might be lower for fir...

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...tive data tosevaluate the overall impact of the national minimum wage on training receipt. Indeed to oursknowledge the only empirical work in this area prior to our own was undertaken for the USs(see =-=Schiller 1994-=-, Neumark and Waschers2001, Grossberg and Sicilian 1999, Acemoglu andsPischke 2003, and for a summary see Arulamapalam et al. 2003a).sIn the remainder of this section, we discuss the results of our ea...

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...es an unbiased estimate of the degree of labor market discrimination at the hiring stage. In the case of gender, such an approach has been carried out in several previous studies (e.g. Levinson 1975; =-=Riach and Rich 1987-=-; Neumark 1996; Riach and Rich 2006). The audit discrimination technique has also been used to measure discrimination on the basis of ethnicity/race, age, obesity, having a criminal record, facial att...

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...art-time work relative to full-time work. We also explore the degree toswhich observed pay gaps differ by gender.sPart-time jobs are often viewed as bad jobs with low pay and little careersprospects (=-=Blank, 1990-=-). Studies based on representative survey data typically find aspart-time pay penalty (for a review of US studies see Hirsch (2004), and for the UK seesinter alia Simpson (1986), Main (1988), Blank (1...

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...te of the degree of labor market discrimination at the hiring stage. In the case of gender, such an approach has been carried out in several previous studies (e.g. Levinson 1975; Riach and Rich 1987; =-=Neumark 1996-=-; Riach and Rich 2006). The audit discrimination technique has also been used to measure discrimination on the basis of ethnicity/race, age, obesity, having a criminal record, facial attractiveness, a...

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...te.sIn recent years in the UK, policy to increase low earnings has been based on thesintroduction of a national minimum wage and the expansion of in-work tax credits (seesBrewer and Shephard 2004 and =-=Sutherland 2001-=-). These measures provide a direct boost tosearnings and thereby help reduce poverty and inequality. But the longer term prospects ofslow-paid workers are also likely to depend on improving their skil...

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... statistically significant positive effects that do not seem to decline over our seven-yearsestimating period. In Section 12.3, we summarize the results of our earlier works(Arulampalam et al. 2004a; =-=Bryan 2005-=-) that uses difference-in-difference methods tosestimate whether or not the 1999 introduction of the national minimum wage in Britain hadsan adverse effect on the training of low-paid workers. Overall...

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...uman capital, workers may only receive thesfull returns to training when they are interviewed for new jobs (Hart and Ritchie 2002).sTraining may also raise wages indirectly through future promotions (=-=Melero 2004-=-), and somestraining may not be used immediately or may serve as a basis for future skills acquisition.sThe way that wages respond to training is likely to differ across course types and jobs, and sos...

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...is affected women in particular). Award provisions areslargely designed to meet the needs of the industry concerned, as well as to protect futuresemployment of both part-time and full-time employees (=-=Hawke, 1993-=-).sAlthough thesAustralian award system has been changing, part-time and full-time workers are notsdistinguished through the award system. However it is possible for individualsagreements to allow par...

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...arket. Through the Working Tax Credit and the National Minimum Wage, thesGovernment has boosted in-work incomes, improving financial incentives to work andstackling poverty among working people.” (HM =-=Treasury 2006-=-: 92)sWork is widely seen as representing the “best route out of poverty”, as the quotation abovesmakes clear. In the UK in 2004-5, working-age adults had a 48 per cent chance of being poorsif they be...