Evidence-based policy making
IZA World of Labor is an online platform that provides policy analysts, journalists, academics and society generally with relevant and concise information on labor market issues. Based on the latest research, it provides current thinking on labor markets worldwide in a clear and accessible style. IZA World of Labor aims to support evidence-based policy making and increase awareness of labor market issues, including current concerns like the impact of Covid-19, and longer-term problems like inequality.
Skill-based immigration, economic integration, and economic performance
Benefiting from highly skilled immigrants requires a complementary mix of immigrant selection and economic integration policies
There is increasing global competition for high-skilled immigrants, as countries intensify efforts to attract a larger share of the world's talent pool. In this environment, high-skill immigrants are becoming increasingly selective in their choices between alternative destinations. Studies for major immigrant-receiving countries that provide evidence on the comparative economic performance of immigrant classes (skill-, kinship-, and humanitarian-based) show that skill-based immigrants perform better in the labor market. However, there are serious challenges to their economic integration, which highlights a need for complementary immigration and integration policies.
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The merits of teacher assessment versus external exams to measure student achievement
Are teachers best placed to assess their students or are external exams more effective?
Oliver Cassagneau-FrancisGillian Wyness , June 2025There is little to no consensus in the academic literature over whether centralised, standardised exams are better for students than teacher assessments. While a growing body of evidence from economics highlights bias in teacher assessments, educationalists and psychologists point to the harm caused by high-stakes exam-related stress and argue that exams and teacher assessments generally agree very closely. This lack of academic consensus is reflected in policy: a wide variety of assessment methods are used across (and even within) countries. Policymakers should be aware of the potential for inequalities in non-blind assessments and consider carefully the consequences of relying on a single method of assessment.MoreLess -
Female labor force participation and development Updated
Improving outcomes for women takes more than raising labor force participation—good jobs are important too
Sher Verick , May 2025The relationship between female labor force participation and economic development is far more complex than often portrayed in both the academic literature and policy debates. Due to various economic and social factors, such as the pattern of growth, education attainment, and social norms, trends in female labor force participation do not conform consistently with the notion of a U-shaped relationship with gross domestic produc (GDP). Despite the initial impact, Covid-19 did not have a lasting negative effect, on average, on women’s participation. At the same time, some countries have made significant progress in increasing participation rates for women, including those who have started from a lower level.MoreLess -
Gender quotas on corporate boards of directors Updated
Gender quotas for women on boards of directors improve female share on boards, but firm performance effects are mixed, and spillover effects are positive but small.
Nina SmithEmma Von Essen , May 2025Arguments for increasing gender diversity on corporate boards of directors by gender quotas range from ensuring equal opportunity to improving firm performance. The introduction of gender quotas in a number of countries, mainly in Europe, has increased female representation on boards. Current research does not unambiguously justify gender quotas on grounds of economic efficiency. In many countries, the number of women in top executive positions is limited, and it is not clear from the evidence that quotas lead to a larger pool of female top executives, who, in turn, are the main pipeline for boards of directors. Thus, other supplementary policies may be necessary if politicians want to increase the number of women in senior management positions.
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Machine learning for causal inference in economics
Discover how machine learning can help to uncover causal insights from economic data to guide better informed policy decisions.
Anthony Strittmatter , April 2025Machine learning (ML) improves economic policy analysis by addressing the complexity of modern data. It complements traditional econometric methods by handling numerous control variables, managing interactions and non-linearities flexibly, and uncovering nuanced differential causal effects. However, careful validation and awareness of limitations such as risk of bias, transparency issues, and data requirements are essential for informed policy recommendations.MoreLess
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Jun 04, 2025
How workplaces shape the economic impact of caregiving shocks on mothers
What if your child is suddenly diagnosed with cancer? -
Jun 02, 2025
How administrative data fosters young economists’ careers
Unlocking potential or reinforcing hierarchies? -
May 30, 2025
Raising the glass raises risks for the whole family
Finnish study reveals significant health consequences of legal drinking ages, with risks spilling over to siblings -
May 28, 2025
Gender-based expectations influence external demands for parental involvement
Schools are more likely to call mothers than fathers, regardless of availability
Job loss is not always a disaster—but for some, it is
Protection for whom? The political economy of protective labor laws for women
Waiting for welfare: How processing times affect benefit receipt and employment