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Is There a Business Cycle Effect on the Incidence of Dual Job Holding?

Author

Listed:
  • Renna Francesco

    (College of Business and Management, Lynn University, Boca Raton, FL, 33431, USA)

  • Oaxaca Ronald L.

    (Department of Economics, University of Arizona, P.O. Box 210108, Tucson, AZ, USA)

  • Choe Chung

    (Department of Economics, Konkuk University, 120, Neungdong-Ro, Gwangjin-Gu, Seoul, South Korea)

Abstract

This paper examines the extent to which the incidence of dual job holding is cyclically sensitive in the context of hours constraints on a worker’s weekly labor supply to their main job. Random effects logit models of the probability of dual job holding are estimated separately for men and women for each of three mutually exclusive, hours-constrained regimes: overemployment, unconstrained hours, and underemployment. As measured by the deviation of each individual’s current regional unemployment rate from their time-averaged mean regional unemployment rate, transitory business cycle movements have no effect on the probability of dual job holding. However, a permanent/steady-state increase (decrease) in the local unemployment rate reduces (raises) the probability of dual job holding among hours-unconstrained workers for both males and females. Furthermore, permanent employment contracts reduce the likelihood of having two jobs.

Suggested Citation

  • Renna Francesco & Oaxaca Ronald L. & Choe Chung, 2023. "Is There a Business Cycle Effect on the Incidence of Dual Job Holding?," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 23(2), pages 443-465, April.
    • Handle: RePEc:bpj:bejeap:v:23:y:2023:i:2:p:443-465:n:8
    DOI: 10.1515/bejeap-2022-0110
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    References listed on IDEAS

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    1. Paxson, Christina H & Sicherman, Nachum, 1996. "The Dynamics of Dual Job Holding and Job Mobility," Journal of Labor Economics, University of Chicago Press, vol. 14(3), pages 357-393, July.
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    More about this item

    Keywords

    dual job; labor supply; hours constraint; business cycle;
    All these keywords.

    JEL classification:

    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J49 - Labor and Demographic Economics - - Particular Labor Markets - - - Other

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