IDEAS home Printed from https://ideas.repec.org/p/nbr/nberwo/1569.html
   My bibliography  Save this paper

Market, Government, and Israel's Muted Baby Boom

Author

Listed:
  • Yoram Ben-Porath

Abstract

Cohorts born in Israel since the late 1910s were approximately 70 percent larger than earlier cohorts. This brought about changes in the age structure that are even more dramatic than the American baby boom.This paper follows the impact of the large cohorts on the school system and on the labor market, emphasizing the role played by the public sector. In terms of the number of teaching posts the school system demonstrated on the whole a very prompt ability to adjust to the pressure of high number of pupils. However,as rates of growth of pupils decelerated, inputs in the school system failed to adujst down. As a result, when the larger cohorts moved up the educational scale,the combination of rapid adjustment where they arrived and sluggish adjustment imparted an upward pressure to the aggregate expenditure on education. When the large cohorts arrived at the age of entry into the labor force the impact was delayed and muted by a rapid expansion of the army and of the universities. Relative earnings cfthe young men 18-24 declined sharply during the decade. The earnings of the very young seem to be responsive to the relative size of a broader age group(18-34), as well as to the size elderly (65 plus).

Suggested Citation

  • Yoram Ben-Porath, 1985. "Market, Government, and Israel's Muted Baby Boom," NBER Working Papers 1569, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:1569
    Note: LS
    as

    Download full text from publisher

    File URL: http://www.nber.org/papers/w1569.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Dov Friedlander, 1975. "Mass immigration and population dynamics in israel," Demography, Springer;Population Association of America (PAA), vol. 12(4), pages 581-599, November.
    2. Welch, Finis, 1979. "Effects of Cohort Size on Earnings: The Baby Boom Babies' Financial Bust," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 65-97, October.
    3. Richard B. Freeman, 1979. "The Effect of Demographic Factors on Age-Earnings Profiles," Journal of Human Resources, University of Wisconsin Press, vol. 14(3), pages 289-318.
    4. Yorman Ben-Porath, 1980. "Child Mortality and Fertility: Issues in the Demographic Transition of a Migrant Population," NBER Chapters, in: Population and Economic Change in Developing Countries, pages 151-208, National Bureau of Economic Research, Inc.
    5. Michael L. Wachter, 1976. "The Changing Cyclical Responsiveness of Wage Inflation," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 7(1), pages 115-168.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Irene Mosca, 2009. "Population Ageing and the Labour Market: Evidence from Italy," LABOUR, CEIS, vol. 23(2), pages 371-395, June.
    2. David E. Bloom & Richard B. Freeman, 1986. "The "Youth Problem": Age or Generational Crowding?," NBER Working Papers 1829, National Bureau of Economic Research, Inc.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Diane J. Macunovich, 1999. "The fortunes of one's birth: Relative cohort size and the youth labor market in the United States," Journal of Population Economics, Springer;European Society for Population Economics, vol. 12(2), pages 215-272.
    2. Fitzenberger, Bernd & Kohn, Karsten, 2006. "Skill Wage Premia, Employment, and Cohort Effects: Are Workers in Germany All of the Same Type?," IZA Discussion Papers 2185, Institute of Labor Economics (IZA).
    3. Daniel A. Kamhöfer & Hendrik Schmitz, 2013. "Analyzing Zero Returns to Education in Germany – Heterogeneous Eff ects and Skill Formation," Ruhr Economic Papers 0446, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    4. David J. Deming, 2021. "The Growing Importance of Decision-Making on the Job," NBER Working Papers 28733, National Bureau of Economic Research, Inc.
    5. Fertig, Michael & Schmidt, Christoph M. & Sinning, Mathias G., 2009. "The impact of demographic change on human capital accumulation," Labour Economics, Elsevier, vol. 16(6), pages 659-668, December.
    6. Balázs Zélity, 2023. "Age diversity and aggregate productivity," Journal of Population Economics, Springer;European Society for Population Economics, vol. 36(3), pages 1863-1899, July.
    7. Peters, Cornelius, 2015. "Do age complementarities affect labour productivity? Evidence from German firm level data," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 112941, Verein für Socialpolitik / German Economic Association.
    8. Carola Pessino, 1996. "Returns to Education in Greater Buenos Aires 1986-1993: From Hyperinflation to Stabilization and Beyond," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 33(99), pages 205-226.
    9. Matsukura, Rikiya & Shimizutani, Satoshi & Mitsuyama, Nahoko & Lee, Sang-Hyop & Ogawa, Naohiro, 2018. "Untapped work capacity among old persons and their potential contributions to the “silver dividend” in Japan," The Journal of the Economics of Ageing, Elsevier, vol. 12(C), pages 236-249.
    10. repec:eee:labchp:v:1:y:1986:i:c:p:525-602 is not listed on IDEAS
    11. Ademola Obafemi Young, 2021. "Cohort Size and Unemployment Rate: New Insights from Nigeria," Global Journal of Emerging Market Economies, Emerging Markets Forum, vol. 13(1), pages 122-151, January.
    12. Amaral, Ernesto F. L. & Potter, Joseph E & Hamermesh, Daniel & Rios-Neto, Eduardo L G, 2013. "Age, education, and earnings in the course of Brazilian development: Does composition matter?," OSF Preprints y7asb, Center for Open Science.
    13. Klaus Waelde, 1996. "Lifetime learning, biased technological change and the evolution of wages in the U.S. 1960 - 1990," Labor and Demography 9601001, University Library of Munich, Germany.
    14. Lance Lochner & Burhanettin Kuruscu, 2009. "Job Ladders, Human Capital, and Wage Inequality over Time," 2009 Meeting Papers 678, Society for Economic Dynamics.
    15. Mark Berger, 1989. "Demographic Cycles, Cohort Size, and Earnings," Demography, Springer;Population Association of America (PAA), vol. 26(2), pages 311-321, May.
    16. Margarita Sapozhnikov & Robert K. Triest, 2007. "Population aging, labor demand, and the structure of wages," Working Papers 07-8, Federal Reserve Bank of Boston.
    17. Alfonso Rosolia & Roberto Torrini, 2007. "The generation gap: relative earnings of young and old workers in Italy," Temi di discussione (Economic working papers) 639, Bank of Italy, Economic Research and International Relations Area.
    18. Inoue, Toshikatsu, 2022. "The effect of aging on the age–wage profile in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 66(C).
    19. Amaral, Ernesto F. L. & Rios-Neto, Eduardo L G & Potter, Joseph E, 2012. "Long term influences of age-education transition on the Brazilian labour market," OSF Preprints 2e4f3, Center for Open Science.
    20. John Moffat & Duncan Roth, 2016. "The Cohort Size-Wage Relationship in Europe," LABOUR, CEIS, vol. 30(4), pages 415-432, December.
    21. Matthew Higgins & Jeffrey G. Williamson, 1999. "Explaining inequality the world round: cohort size, Kuznets curves, and openness," Staff Reports 79, Federal Reserve Bank of New York.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:1569. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/nberrus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.