Career Crisis? The Impacts of Financial Shock on Entry-Level Labour Market: Experimental Evidences from Thailand in 1997
AbstractIdentifying the conditions of entry-level labour market on employment and wages is difficult because there is non-separability of match qualities from firm specific demand shock at the period of transition from school to work. We utilize Thailand's financial crisis in 1997 as a natural experiment which exogenously shifts labour demand temporally. This model provides three testable hypotheses: (1) entry-level labour market tightens after crisis; (2) disadvantage of newly entrants at the period after crisis decreases overtime; (3) senior or highly educated worker's job and wages are secured. Convincing evidences from Thailand Labor Force Survey support our empirical predictions.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Institute of Economic Research, Hitotsubashi University in its series Hi-Stat Discussion Paper Series with number d04-79.
Date of creation: Feb 2005
Date of revision:
Crisis; Entry-Level Labour market; Treatment Effects;
Find related papers by JEL classification:
- C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
- D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search, Learning, and Information
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Turnover; Vacancies; Layoffs
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
This paper has been announced in the following NEP Reports:
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.:
- Kenneth I. Wolpin & Mark R. Rosenzweig, 2000. "Natural "Natural Experiments" in Economics," Journal of Economic Literature, American Economic Association, vol. 38(4), pages 827-874, December.
- James Heckman & Hidehiko Ichimura & Jeffrey Smith & Petra Todd, 1998.
"Characterizing Selection Bias Using Experimental Data,"
Econometric Society, vol. 66(5), pages 1017-1098, September.
- James Heckman & Hidehiko Ichimura & Jeffrey Smith & Petra Todd, 1998. "Characterizing Selection Bias Using Experimental Data," NBER Working Papers 6699, National Bureau of Economic Research, Inc.
- Joshua D. Angrist & Alan B. Krueger, 2001.
"Instrumental Variables and the Search for Identification: From Supply and Demand to Natural Experiments,"
Journal of Economic Perspectives,
American Economic Association, vol. 15(4), pages 69-85, Fall.
- Joshua Angrist & Alan B. Krueger, 2001. "Instrumental Variables and the Search for Identification: From Supply and Demand to Natural Experiments," NBER Working Papers 8456, National Bureau of Economic Research, Inc.
- Gibbons, R. & Katz, L.F., 1989.
"Layoffs And Lemons,"
531, Massachusetts Institute of Technology (MIT), Department of Economics.
- Crépon, Bruno & Kramarz, Francis, 2000.
"Employed 40 Hours or Not Employed 39: Lessons from the 1982 Mandatory Reduction of the Workweek,"
CEPR Discussion Papers
2358, C.E.P.R. Discussion Papers.
- Bruno Crepon & Francis Kramarz, 2002. "Employed 40 Hours or Not Employed 39: Lessons from the 1982 Mandatory Reduction of the Workweek," Journal of Political Economy, University of Chicago Press, vol. 110(6), pages 1355-1389, December.
- Crépon, Bruno & Kramarz, Francis, 2002. "Employed 40 Hours or Not-Employed 39: Lessons from the 1982 Mandatory Reduction of the Workweek," IZA Discussion Papers 416, Institute for the Study of Labor (IZA).
- Tomohiro Machikita, 2004.
"Is Learning by Migrating in Megalopolis Really Important?,"
Econometric Society 2004 Far Eastern Meetings
579, Econometric Society.
- Tomohiro Machikita, 2005. "Is Learning by Migrating in Megalopolis Really Important?," Hi-Stat Discussion Paper Series d04-78, Institute of Economic Research, Hitotsubashi University.
- Thomas, Duncan & Beegle, Kathleen & Frankenberg, Elizabeth & Sikoki, Bondan & Strauss, John & Teruel, Graciela, 2004. "Education in a crisis," Journal of Development Economics, Elsevier, vol. 74(1), pages 53-85, June.
- Richard Rogerson, 2005. "Sectoral Shocks, Specific Human Capital and Displaced Workers," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 8(1), pages 89-105, January.
- McKenzie, David J, 2004. "Aggregate Shocks and Urban Labor Market Responses: Evidence from Argentina's Financial Crisis," Economic Development and Cultural Change, University of Chicago Press, vol. 52(4), pages 719-58, July.
- Ham, John C & LaLonde, Robert J, 1996. "The Effect of Sample Selection and Initial Conditions in Duration Models: Evidence from Experimental Data on Training," Econometrica, Econometric Society, vol. 64(1), pages 175-205, January.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Tatsuji Makino).
If references are entirely missing, you can add them using this form.