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The impact of labour market reforms and economic performance on the matching of short-term and long-term unemployed

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Author Info

  • Klinger, Sabine

    ()
    (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])

  • Rothe, Thomas

    ()
    (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])

Abstract

"As a reaction on high and persistent unemployment in Germany, the largest labour market reforms in post-war history were implemented between 2003 and 2005. We analyse the impact of the reform and its coincidence with an economic expansion on the efficiency of matching out of unemployment. Especially focussing on searcher heterogeneity, we estimate a system of simultaneous stock-flow matching functions for short-term and long-term unemployment (3SLS) on the basis of administrative data. In sum, matching efficiency accelerated for the short-term and particularly the long-term unemployed although we cannot rule out a slight negative effect of the reformation of the unemployment benefit system for the short-term unemployed. A tighten relationship between the business cycle and the matching efficiency during the latest economic expansion could not be proven." (Author's abstract, IAB-Doku) ((en))

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Bibliographic Info

Paper provided by Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany] in its series IAB Discussion Paper with number 201013.

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Length: 35 pages
Date of creation: 26 Jul 2010
Date of revision:
Publication status: published in: Scottish Journal of Political Economy, Vol. 59, No. 1 (2012), p. 90-114
Handle: RePEc:iab:iabdpa:201013

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Related research

Keywords: Hartz-Reform - Auswirkungen; Arbeitslose; berufliche Reintegration; Langzeitarbeitslose; matching - Effizienz; Arbeitsmarktchancen;

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References

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  1. Robert Shimer, 2007. "Reassessing the Ins and Outs of Unemployment," NBER Working Papers 13421, National Bureau of Economic Research, Inc.
  2. Thomsen, Stephan L., 2008. "Explaining the Employability Gap of Short-term and Long-term Unemployed Persons," ZEW Discussion Papers 08-062, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
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  4. Sergio Destefanis & Raquel Fonseca, 2005. "Matching Efficiency and Labour Market Reform in Italy. A Macroeconometric Assessment," CELPE Discussion Papers 93, CELPE - Centre of Labour Economics and Economic Policy, University of Salerno, Italy.
  5. Gesine Stephan, 2008. "The Effects of Active Labor Market Programs in Germany: An Investigation Using Different Definitions of Non-Treatment," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 228(5+6), pages 586-611, December.
  6. Jekaterina Dmitrijeva & Mihails Hazans, 2007. "A Stock-Flow Matching Approach to Evaluation of Public Training Programme in a High Unemployment Environment," LABOUR, CEIS, vol. 21(3), pages 503-540, 09.
  7. Ronald Bachmann, 2005. "Labour Market Dynamics in Germany: Hirings, Separations, and Job-to-Job Transitions over the Business Cycle," SFB 649 Discussion Papers SFB649DP2005-045, Sonderforschungsbereich 649, Humboldt University, Berlin, Germany.
  8. Coles, Melvyn G & Smith, Eric, 1994. "Marketplaces and Matching," CEPR Discussion Papers 1048, C.E.P.R. Discussion Papers.
  9. Breusch, T.S. & Pagan, A.R., . "The Lagrange multiplier test and its applications to model specification in econometrics," CORE Discussion Papers RP -412, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  10. Michael Rosholm, 2001. "Cyclical variations in unemployment duration," Journal of Population Economics, Springer, vol. 14(1), pages 173-191.
  11. Marco Caliendo & Alexander Kritikos, 2010. "Start-ups by the unemployed: characteristics, survival and direct employment effects," Small Business Economics, Springer, vol. 35(1), pages 71-92, July.
  12. Arntz, Melanie, 2005. "The Geographical Mobility of Unemployed Workers: Evidence from West Germany," ZEW Discussion Papers 05-34, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  13. Adriaan Kalwij, 2010. "Unemployment durations and the pattern of duration dependence over the business cycle of British males," Empirical Economics, Springer, vol. 38(2), pages 429-456, April.
  14. David Roodman, 2006. "How to Do xtabond2," North American Stata Users' Group Meetings 2006 8, Stata Users Group.
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Citations

Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. The (part time) German jobs miracle
    by Gavyn Davies in Gavyn Davies on 2010-08-31 10:00:11
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Cited by:
  1. Matthias S. Hertweck & Oliver Sigrist, 2013. "The Aggregate Effects of the Hartz Reforms in Germany," SOEPpapers on Multidisciplinary Panel Data Research 532, DIW Berlin, The German Socio-Economic Panel (SOEP).
  2. Burda, Michael C & Hunt, Jennifer, 2011. "What Explains the German Labor Market Miracle in the Great Recession?," CEPR Discussion Papers 8520, C.E.P.R. Discussion Papers.
  3. Caliendo, Marco & Hogenacker, Jens, 2012. "The German Labor Market after the Great Recession: Successful Reforms and Future Challenges," IZA Discussion Papers 6810, Institute for the Study of Labor (IZA).
  4. S. Haincourt. & M. Mogliani., 2012. "Has the 2008-2009 recession increased the structural share of unemployment in the euro area?," Quarterly selection of articles - Bulletin de la Banque de France, Banque de France, issue 25, pages 63-80, Sring.
  5. Thomas Beissinger & Nathalie Chusseau & Joel Hellier, 2014. "Offshoring, employment, labour market reform and inequality: Modelling the German experience," Working Papers 330, ECINEQ, Society for the Study of Economic Inequality.

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