Estimating Worklife Expectancy and Earnings Capacity
Saturday, Jan. 4, 2020 8:00 AM - 10:00 AM (PDT)
- Chair: Constantine M. Boukidis, VWM Analytics
Seven Careers in a Lifetime? An Analysis of Employee Tenure
AbstractThis analysis examines the number of jobs and careers and employer-specific tenure lengths for a cohort of relatively young workers. Young workers today have many jobs and many careers—at least seven—over the first decade or two of their careers. The majority last no more than a year. Hazard models show that short tenures are associated with a higher probability of leaving an employer. However, fixed effects models suggest this is partially due to dynamic self-selection. Workers with longer tenures are less likely to separate regardless of tenure. The effect of tenure on the hazard for separating is non-monotonic.
Estimating the Present Value of Earning Capacity for an Undocumented Worker
AbstractWe propose a model for a computation of future earnings (earning capacity) for an undocumented worker. The model has a significant practical implications for the legal community and forensic economics. The model establishes a methodology for computing the future earnings (earning capacity) while controlling for the probability that the undocumented worker will be deported or will voluntarily return to his/her home country. Both a linear and a Markov process model are considered and illustrated. We propose several data sources that may be utilized by practitioners in estimating the model parameters. Additionally, we provide an overview of the case law (by state) as it pertains to the treatment of the calculation of economic damages in personal injury and wrongful death cases involving unauthorized workers.
- K2 - Regulation and Business Law