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Aggregate Matching Efficiency : A Stochastic Production Frontier Approach, France 1990-1994

Author

Listed:
  • Aomar IBOURK

    (CREQ, Université de Marrakech - Maroc)

  • Béatrice MAILLARD

    (FLSE, Université catholique de Lille - France)

  • Serge PERELMAN

    (CREPP, Université de Liège)

  • Henri R. SNEESSENS

    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) and IZA, and FLSE, Université catholique de Lille - France)

Abstract

We evaluate the determinants of aggregate matching efficiency changes through a stochastic Cobb-Douglas production frontier model. The efficiency coefficient is represented by a stochastic function of variables meant to capture workers and firms characteristics. The model is estimated on French data covering twenty-two regions from March 1990 till February 1995. Our estimates suggest that aggregate matching efficiency has decreased steadily in the early nineties. There are also wide cross-regional differences. On average, about 30% of the variations of efficiency observed across time and regions can be related to changes in the explanatory variables used in the model. The most important explanatory variables are the proportion of youngsters, females and immigrants in the stock of job seekers. Long-term unemployment has a significant negative effect, population density a significant positive one. The huge decline in the proportion of permanent job offers has apparently little effect on matching efficiency

Suggested Citation

  • Aomar IBOURK & Béatrice MAILLARD & Serge PERELMAN & Henri R. SNEESSENS, 2001. "Aggregate Matching Efficiency : A Stochastic Production Frontier Approach, France 1990-1994," LIDAM Discussion Papers IRES 2001034, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    • Handle: RePEc:ctl:louvir:2001034
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    File URL: http://sites.uclouvain.be/econ/DP/IRES/2001-34.pdf
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    References listed on IDEAS

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    Cited by:

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    2. Kangasharju, Aki & Hynninen, Sanna-Mari & Pehkonen, Jaakko, 2006. "Regional Matching Frictions and Aggregate Unemployment," Discussion Papers 383, VATT Institute for Economic Research.

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    More about this item

    Keywords

    matching efficiency; regional unemployment; stochastic frontier;
    All these keywords.

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models; Switching Regression Models; Threshold Regression Models

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