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Separations at the Firm Level

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  • Pieter A. Gautier

    ()
    (Netherlands Bureau for Economic Policy Analysis and Vrije Universiteit Amsterdam)

  • Gerard J. van den Berg

    ()
    (Vrije Universiteit Amsterdam and CEPR)

  • Jan C. van Ours

    (CentER, Tilburg University and CEPR)

  • Geert Ridder

    ()
    (Johns Hopkins University)

Abstract

This paper analyzes the determinants of lay-offs, job-to-job movements and totalseparations with a unique data set that combines information on individual firmsand their workers. We are in particular interested in whether the lay-offpolicy of firms can explain the relatively high level of unemployment amongstlower educated workers and the relatively strong sensitivity of their unemploymentrate to the business cycle. We find that lay-off rates decrease with educationbut that the change over the cycle in the lay-off rate of workers with a lowerlevel of education compared to that of workers with a higher level of education can notexplain the stronger cyclicality of the unemployment rate for lower educatedworkers. We conclude that this stronger cyclicality is not due to the personnelpolicy of firms.

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Bibliographic Info

Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 99-010/3.

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Date of creation: 18 Feb 1999
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Handle: RePEc:dgr:uvatin:19990010

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References

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  1. Gerard J, Van den Berg & Bas Van der Klmaauw, 1998. "Combining Micro and Macro Unemployment Duration Data," Working Papers 98-58, Centre de Recherche en Economie et Statistique.
  2. repec:dgr:uvatin:1998084 is not listed on IDEAS
  3. van Ours, J. C. & Ridder, G., 1995. "Job matching and job competition: Are lower educated workers at the back of job queues?," European Economic Review, Elsevier, vol. 39(9), pages 1717-1731, December.
  4. repec:fth:inseep:9858 is not listed on IDEAS
  5. Abbring, J.H. & Berg, G. van den & Gautier, P.A. & Lomwel, A.G.C. van & Ours, J.C. van & Ruhm, C.J., 1998. "Displaced Workers in The United States and The Netherlands," Discussion Paper 1998-96, Tilburg University, Center for Economic Research.
  6. Ricardo J. Caballero & Mohamad L. Hammour, 1998. "The Macroeconomics of Specificity," Journal of Political Economy, University of Chicago Press, vol. 106(4), pages 724-767, August.
  7. Oliver Jean Blanchard & Peter Diamond, 1990. "The Cyclical Behovior of the Gross Flows of U.S. Workers," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 21(2), pages 85-156.
  8. repec:dgr:uvatin:2098084 is not listed on IDEAS
  9. Ours, J.C. van & Ridder, G., 1995. "Job Matching and Job Competition: Are Lower Educated Workers at the Back of Job Queues?," Open Access publications from Tilburg University urn:nbn:nl:ui:12-142162, Tilburg University.
  10. Baker, Michael, 1992. "Unemployment Duration: Compositional Effects and Cyclical Variability," American Economic Review, American Economic Association, vol. 82(1), pages 313-21, March.
  11. Davis, Steven J & Haltiwanger, John & Schuh, Scott, 1996. " Small Business and Job Creation: Dissecting the Myth and Reassessing the Facts," Small Business Economics, Springer, vol. 8(4), pages 297-315, August.
  12. Burgess, Simon M, 1988. "Employment Adjustment in UK Manufacturing," Economic Journal, Royal Economic Society, vol. 98(389), pages 81-103, March.
  13. Steven J. Davis & John C. Haltiwanger & Scott Schuh, 1998. "Job Creation and Destruction," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262540932, December.
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Cited by:
  1. Jonathan P. Thomas, 2000. "Fair pay and a Wagebill Argument for Wage Rigidity and Excessive Employment Variability," Labor and Demography 0004004, EconWPA.
  2. A. Gautier, Pieter & J. van den Berg, Gerard & C. van Ours, Jan & Ridder, Geert, 2002. "Worker turnover at the firm level and crowding out of lower educated workers," European Economic Review, Elsevier, vol. 46(3), pages 523-538, March.
  3. Gielen, A. C. & Ours, J.C. van, 2005. "Age-specific Cyclical Effects in Job Reallocation and Labor Mobility," Discussion Paper 2005-86, Tilburg University, Center for Economic Research.
  4. Cai, Xiaoming & Gautier, Pieter A. & Teulings, Coen N. & Watanabe, Makoto, 2014. "Collective versus decentralized wage bargaining and the efficient allocation of resources," Labour Economics, Elsevier, vol. 26(C), pages 34-42.
  5. Dohmen, Thomas J. & Pfann, Gerard A., 2004. "Worker separations in a nonstationary corporate environment," European Economic Review, Elsevier, vol. 48(3), pages 645-663, June.
  6. Pieter A. Gautier, 1999. "Unemployment and Search Externalities in a Model with Heterogeneous Jobs and Heterogeneous Workers," Tinbergen Institute Discussion Papers 99-075/3, Tinbergen Institute.

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