Semi-nonparametric estimation of an equilibrium search model

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Semi-nonparametric estimation of an equilibrium search model

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Koning, Pierre (Vrije Universiteit Amsterdam, Faculteit der Economische Wetenschappen en Econometrie (Free University Amsterdam, Faculty of Economics Sciences, Business Administration and Economitrics)
Berg, Gerard J. van den
Ridder, Geert

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Abstract

We specify and estimate an equilibrium job search model with productivity differences across labor market segments. The model allows for two types of unemployment: frictional unemployment due to search frictions and structural unemployment due to wage floors. Wage floors exist because of high unemployment benefits or binding minimum wages. The productivity distribution is estimated semi-nonparametrically along the lines of Gailant-Nychka, using Hermite series approximation. We decompose the total unemployment rate and we examine the effect of changes in the minimum wage.

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Paper provided by VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics in its series Serie Research Memoranda with number 0003.

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Date of creation: 1998
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Handle: RePEc:dgr:vuarem:1998-3

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Article
- Koning, Pierre & van den Berg, Gerard J & Ridder, Geert, 2000. " Semi-nonparametric Estimation of an Equilibrium Search Model," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 62(3), pages 327-56, July. [Downloadable!] (restricted)
Paper
- Pierre Koning & Gerard J. van den Berg & Geert Ridder, 1998. "Semi-Nonparametric Estimation of an Equilibrium Search Model," Tinbergen Institute Discussion Papers 98-020/3, Tinbergen Institute.
- Pierre Konig & Gerard J van der Berg & Geert Ridder, 2000. "Semi-Nonparametric Estimation of an Equilibrium Search Model," Economics Working Paper Archive 424, The Johns Hopkins University,Department of Economics.

Find related papers by JEL classification:
J62 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Job, Occupational and Intergenerational Mobility; Promotion
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

This paper has been announced in the following NEP Reports:

NEP-ALL-2002-03-14 (All new papers)

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

Koning, Pierre & Ridder, Geert & van den Berg, Gerard J, 1995. "Structural and Frictional Unemployment in an Equilibrium Search Model with Heterogeneous Agents," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 10(S), pages S133-51, Suppl. De. [Downloadable!] (restricted)
Other versions:
- Koning, Pierre & Ridder, Geert & Berg, Gerard J. van den, 1994. "Structural and frictional unemployment in an equilibrium search model with heterogeneous agents," Serie Research Memoranda 0052, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics. [Downloadable!]
James J. Heckman & Christopher J. Flinn, 1982. "New Methods for Analyzing Structural Models of Labor Force Dynamics," NBER Working Papers 0856, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
Other versions:
- Flinn, C. & Heckman, J., 1982. "New methods for analyzing structural models of labor force dynamics," Journal of Econometrics, Elsevier, vol. 18(1), pages 115-168, January. [Downloadable!] (restricted)
Gallant, A Ronald & Nychka, Douglas W, 1987. "Semi-nonparametric Maximum Likelihood Estimation," Econometrica, Econometric Society, vol. 55(2), pages 363-90, March. [Downloadable!] (restricted)
Richard Dickens & Stephen Machin & Alan Manning, 1994. "Estimating the Effect of Minimum Wages on Employment from the Distribution of Wages: A Critical View," CEP Discussion Papers dp0203, Centre for Economic Performance, LSE. [Downloadable!]
Other versions:
- Dickens, Richard & Machin, Stephen & Manning, Alan, 1998. "Estimating the effect of minimum wages on employment from the distribution of wages: A critical view," Labour Economics, Elsevier, vol. 5(2), pages 109-134, June. [Downloadable!] (restricted)
Dale Mortensen, 1984. "Job Search and Labor Market Analysis," Discussion Papers 594, Northwestern University, Center for Mathematical Studies in Economics and Management Science. [Downloadable!]
Other versions:
- Mortensen, Dale T., 1987. "Job search and labor market analysis," Handbook of Labor Economics, in: O. Ashenfelter & R. Layard (ed.), Handbook of Labor Economics, edition 1, volume 2, chapter 15, pages 849-919 Elsevier. [Downloadable!] (restricted)
Berg, G.J. & Ridder, G., 1993. "Estimating an equilibrium search model from wage data," Serie Research Memoranda 0040, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics. [Downloadable!]
Gabler, Siegfried & Laisney, Francois & Lechner, Michael, 1993. "Seminonparametric Estimation of Binary-Choice Models with an Application to Labor-Force Participation," Journal of Business & Economic Statistics, American Statistical Association, vol. 11(1), pages 61-80, January.
Stephen Machin & Alan Manning, 1992. "Minimum Wages," CEP Discussion Papers dp0080, Centre for Economic Performance, LSE.
Narendranathan, Wiji & Nickell, Stephen, 1985. "Modelling the process of job search," Journal of Econometrics, Elsevier, vol. 28(1), pages 29-49, April. [Downloadable!] (restricted)
van den Berg, Gerard J, 1992. "A Structural Dynamic Analysis of Job Turnover and the Costs Associated with Moving to Another Job," Economic Journal, Royal Economic Society, vol. 102(414), pages 1116-33, September. [Downloadable!] (restricted)
Gerard J. van den Berg & Geert Ridder, 1998. "An Empirical Equilibrium Search Model of the Labor Market," Econometrica, Econometric Society, vol. 66(5), pages 1183-1222, September.
Other versions:
- Berg, G.J. & Ridder, G., 1993. "An empirical equilibrium search model of the labour market," Serie Research Memoranda 0039, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics. [Downloadable!]

Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

Gerard J. van den Berg, 1998. "Empirical Inference with Equilibrium Search Models of the Labor Market," Tinbergen Institute Discussion Papers 98-089/3, Tinbergen Institute. [Downloadable!]
Other versions:
- van den Berg, Gerard J, 1999. "Empirical Inference with Equilibrium Search Models of the Labour Market," Economic Journal, Royal Economic Society, vol. 109(456), pages F283-306, June. [Downloadable!] (restricted)
Gerard J. van den Berg & Aico van Vuuren, 2002. "The Effect of Search Frictions on Wages," 10th International Conference on Panel Data, Berlin, July 5-6, 2002 C1-2, International Conferences on Panel Data. [Downloadable!]
Other versions:
- Gérard J, Van den Berg ; Aico Van Vuuren, 2003. "The effect of Search Frictions on Wages," Working Papers 2003-29, Centre de Recherche en Economie et Statistique. [Downloadable!]
- van den Berg, Gerard J. & van Vuuren, Aico, 2003. "The effect of search frictions on wages," Working Paper Series 2003:12, IFAU - Institute for Labour Market Policy Evaluation. [Downloadable!]
- Gerard J. van den Berg & Aico van Vuuren, 2006. "The Effect of Search Frictions on Wages," Tinbergen Institute Discussion Papers 06-077/3, Tinbergen Institute. [Downloadable!]
- van den Berg, Gerard J & van Vuuren, Aico, 2003. "The Effect of Search Frictions on Wages," CEPR Discussion Papers 3979, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
- van den Berg, Gerard J. & van Vuuren, Aico, 2003. "The Effect of Search Frictions on Wages," IZA Discussion Papers 805, Institute for the Study of Labor (IZA). [Downloadable!]

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