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In People Must Live by Work, Steven Attewell presents the history of an idea—direct job creation—that transformed the role of government in ameliorating unemployment by hiring the unemployed en masse to prevent widespread destitution in economic crises. For ten years, between 1933 and 1943, direct job creation was put into practice, employing more than eight million Americans and making the federal government the largest single employer in the country. Yet in 2008, when the most dramatic economic crisis since the Depression occurred, the idea of direct job creation was nowhere to be found on the list of policies deemed feasible or advisable for government at any level. People Must Live by Work traces the rise and fall of direct job creation policy—how it was put into practice, how it came within a hairbreadth of becoming a permanent feature of American economic and social administration, and why it has been largely forgotten or discounted today. Contrary to more conventional arguments, Attewell reveals that the New Deal ended the Great Depression before the United States entered World War II and its jobs programs continued to influence policy debates over the Employment Act of 1946. He examines the deliberations surrounding the Humphrey-Hawkins Full Employment Act that was signed into law in 1978 and demonstrates the ways in which direct job creation played a significant and polarizing role in dividing the economic establishment and the Democratic party in the 1970s. People Must Live by Work not only chronicles the ambition, constraints, and achievements of direct job creation policy in the past but also proposes a framework for understanding its enduring significance and promise for today.
Experts discuss improving job quality in low-wage industries including retail, residential construction, hospitals and long-term healthcare, restaurants, manufacturing, and long-haul trucking. Americans work harder and longer than our counterparts in other industrialized nations. Yet prosperity remains elusive to many. Workers in such low-wage industries as retail, restaurants, and home construction live from paycheck to paycheck, juggling multiple jobs with variable schedules, few benefits, and limited prospects for advancement. These bad outcomes are produced by a range of industry-specific factors, including intense competition, outsourcing and subcontracting, failure to enforce employment standards, overt discrimination, outmoded production and management systems, and inadequate worker voice. In this volume, experts look for ways to improve job quality in the low-wage sector. They offer in-depth examinations of specific industries—long-term healthcare, hospitals and outpatient care, retail, residential construction, restaurants, manufacturing, and long-haul trucking—that together account for more than half of all low-wage jobs. The book's sector view allows the contributors to address industry-specific variations that shape operational choices about work. Drawing on deep industry knowledge, they consider important distinctions within and between these industries; the financial, institutional, and structural incentives that shape the choices employers make; and what it would take to make more jobs better jobs. Contributors Eileen Appelbaum, Rosemary Batt, Dale Belman, Julie Brockman, Françoise Carré, Susan Helper, Matt Hinkel, Tashlin Lakhani, JaeEun Lee, Raphael Martins, Russell Ormiston, Paul Osterman, Can Ouyang, Chris Tilly, Steve Viscelli
This volume considers the American manufacturing industry, and develops a statistical portait of the microeconomic adjustments that affect business and workers. The authors focus on the employer rather than worker side of the process aiming to show the processes that will be relevant to economists.
This report examines selected public sector direct job creation schemes that were in operation in 1977-1978 in Canada, Denmark, Norway, the United Kingdom, and the United States. Based on responses to a questionnaire and discussions with officials in the five countries, the information presented in the report is not intended to evaluate any one program but rather simply to show the results of a series of different job creation programs and later to develop some of the implications of these results. Following descriptions of major programs in each of the countries, the various existing program types and their common characteristics are outlined. Presented next are data pertaining to the following areas: number and types of jobs created; characteristics of participants (employment status, sex, age, educational attainment, economic status); targeting success; transition and postprogram experience; attitudes and satisfaction; wages; net costs; net job creation/displacement; start-up and phase-out; value of output; and financing of programs. In a section on the implications of the findings, the multiple objectives, employment impact, and inflationary impact of direct job creation are explored. Mentioned next are some considerations relating to future policy development, including program design, funding, training, transition, and community dependence on programs. (MN)
At the lowest ebb of the Great Depression, the Federal government broke with centuries of economic orthodoxy to grapple with an economic crisis that had thrown anywhere from a quarter to a third of the American workforce onto the breadlines. For the first time in American history, the government would directly employ the jobless in an effort to bring down national unemployment rates. "Public At Work: Direct Job Creation Policy From the New Deal to the Rise of Reagan" traces the tumultuous and often unexplored history of direct job creation policy, beginning with an exploration of the intellectual and programmatic development of the Works Progress Administration within the New Deal and its impact on the Great Depression, which was far more successful in combating mass unemployment than many historians have recognized. By 1945-6, when debates over full employment consumed the Congress, direct job creation stood at the verge of becoming the foundation of American economic and social welfare policy. "Public At Work" points to intellectual and ideological choices within liberalism as the reason why at the very moment when the Full Employment Bill of 1945 promised to make the U.S a leader in the full employment field, jobs policy was rapidly de-institutionalized and pushed to the margins of policy discourse. Despite this setback, direct job creation survived as an intellectual and policy contender within the War on Poverty task forces where it challenged then-dominant "culture of poverty" theories of poverty - creating a bridge between New Deal liberalism and post-war liberalism. "Public At Work" concludes by demonstrating how direct job creation - through the vehicle of the Humphrey-Hawkins Act - was very much the fulcrum of the crisis of the New Deal order, as the collapse of the Keynesian consensus divided the economic establishment and the Democratic Party at a time of high unemployment and high inflation.
This booklet extends earlier analyses of the job creation of start-ups vs. established firms by taking into consideration the educational content of the jobs created and destroyed. It defines education-specific measures of job creation and job destruction at the firm level, and it uses these to construct a measure of "surplus job creation" defined as jobs created on top of any simultaneous destruction of similar jobs in incumbent firms in the same region and industry. Using Danish employer-employee data from 2002 to 2007, which identifies the start-ups and which covers almost the entire private sector, these measures provide a more nuanced assessment of the role of entrepreneurial firms in the job-creation process than previous studies. The findings show that while start-ups are responsible for the entire overall net job creation, incumbents account for more than a third of net job creation within high-skilled jobs. Moreover, start-ups "only" create around half of the surplus jobs, and even less of the high-skilled surplus jobs. Finally, this approach characterizes and identities differences across industries, educational groups, and regions. (Series: The Rockwool Foundation Research Unit - Study Paper - No. 100) [Subject: Labor Studies, Business]
We evaluate the direct employment effect of the public investment in key infrastructure—electricity, roads, schools and hospitals, and water and sanitation. Using rich firm-level panel data from 41 countries over 19 years, we estimate that US$1 million of public spending in infrastructure create 3–7 jobs in advanced economies, 10–17 jobs in emerging market economies, and 16–30 jobs in low-income developing countries. As a comparison, US$1 million public spending on R&D yields 5–11 jobs in R&D in OECD countries. Green investment and investment with a larger R&D component deliver higher employment effect. Overall, we estimate that one percent of global GDP in public investment can create more than seven million jobs worldwide through its direct employment effects alone.