LABOUR ECONOMICS

Course for the third year of the Bachelor Degree in [ET4] ECONOMIA E COMMERCIO - ECONOMICS, MARKETS AND FINANCE, and of the Bachelor Degree in [ETR9] ECONOMICS AND BUSINESS

At the end of the course, students will:
A. Recognize labor economics as a growing research field that also aims at explaining social phenomena such as education, migration, family formation, health care decisions, etc.
B. Understand the fundamental theoretical models in labor economics
C. Identify the empirical methods used to analyze labor and social phenomena and value the empirical challenges that these methods want to address
D. Analyze and interpret statistical facts related to the labor market or related social phenomena
E. Appraise research papers in labor economics

Passing the course in Microeconomics is a mandatory prerequisite to sit the exam in Labour Economics, in accordance with Ca' Foscari degree program regulations. Additionally, students are expected to be proficient in introductory statistics and regression analysis (introductory econometrics).

This course represents an introduction to labor economics, which has grown enormously as a research field in the past several decades. While being originally focused only on the study of the behavior of firms and workers,
modern labor research examines diverse areas such as education, health, family interactions, migration and inequality.
The course is structured in two parts. The first part covers the fundamental topics in labor economics, particularly the study of the labor market. This part of the course analyzes the individuals’ decisions to work (labor supply), the firms’ decision to hire workers (labor demand) and how an equilibrium between firms and workers is reached (labor market equilibrium). We also study special cases of labor supply decisions, such as how the decision to work is influenced by the workers’ age or the business cycle or how it changes in the context of a household in which both husband and wife makes labor supply choices.
The second part of the course covers selected topics in modern labor economics, possibly accompanied by the study of empirical applications/papers: education as an investment in human capital, migration, labor market discrimination, unemployment, wage inequality.
Our approach is both theoretical and empirical: we discuss theoretical models as well as the evidence on how well the real world matches the predictions of such models. Moreover, when presenting and discussing academic papers, the course also presents the main strategies/methods used in empirical research to analyze labor market phenomena.

Borjas, G.J., 2020, Labour Economics, 8 th edition, Mc-Graw Hill.
Additional selected papers, which constitute compulsory reading to undertake the exam, will be available on the Moodle page of the course

Written examination with open questions and exercises analogous to those solved in class. The passing grade is 18; points assigned to each question are clearly indicated in the exam.
The examination tests the student’s understanding of the topics covered in the course and his/her ability to analyse closely related problems and to interpret their results.

written

The instructor is responsible for ensuring the authenticity and originality of all examinations and coursework. In cases of suspected academic misconduct, an additional on-site assessment may be required during the exams, which may differ from the standard format.

The final grade is expressed on a 30-point scale and corresponds to the total sum of points assigned to each open question and exercise in the written examination. Assessment will take into account conceptual and procedural accuracy, rigor in applying empirical methodologies, analytical skills, and precision in interpreting labor market phenomena.

The grade breakdown is defined as follows:
- Grades in the 18–22 range (Sufficient): Elementary yet sufficient knowledge of basic theoretical models in labor economics (supply, demand, and equilibrium). Adequate ability to apply empirical methods and solve standard exercises. Basic capacity to interpret stylized facts and data related to the labor market.
- Grades in the 23–26 range (Satisfactory/Good): Good knowledge and understanding of theoretical models and selected topics (human capital, migration, discrimination, inequality). Solid ability to solve exercises and analyze empirical/econometric problems without major conceptual errors. Adequate capacity to comment on and critically interpret scientific literature and empirical evidence.

- Grades in the 27–30 range (Very Good/Excellent): In-depth, comprehensive, and rigorous knowledge of all theoretical and empirical course topics. Strong analytical skills and complete mastery in applying empirical strategies to analyze labor and social phenomena. Excellent ability to synthesize, independently elaborate upon, and critically appraise research papers.

- 30 cum laude (Outstanding): Flawless and brilliant mastery of the subject, demonstrated through complete accuracy in exercise resolution and exceptional critical maturity in both theoretical and empirical labor market analysis.

The course adopts an integrated teaching approach that combines conventional lectures with active learning strategies.
Specifically, teaching activities include:

Lectures: dedicated to introducing and thoroughly explaining theoretical models in labor economics and their underlying empirical methodologies.

Interactive classroom activities: use of real-time audience response tools (such as Wooclap) to check students' understanding of key concepts in real time, run quick exercises, and encourage active class participation.

Guided class discussions: structured discussions focused on specific topics, labor market stylized facts, and academic research papers, aimed at developing students' critical thinking and analytical skills.

For any course-related information, students should trust only the course page on Moodle

This subject deals with topics related to the macro-area "Poverty and inequalities" and contributes to the achievement of one or more goals of U. N. Agenda for Sustainable Development