Advanced Search
MyIDEAS: Login to save this paper or follow this series

To Fire or to Hoard? Explaining Japan’s Labor Market Response in the Great Recession

Contents:

Author Info

  • Chad Steinberg
  • Masato Nakane
Registered author(s):

    Abstract

    The Great Recession pushed Japan’s unemployment rate to historic highs, but the increase has been small by international standards and small relative to the large output shock. This paper explores Japan’s cyclical labor market response to the global financial crisis. Our findings suggest that: (i) employment responsiveness has been historically low but rising over time with the increasing importance of the non-regular workforce; (ii) the labor market response was consistent with historical patterns once we control for the size of the output shock; and (iii) the comparatively lower employment response vis-à -vis other countries can in part be explained by the quick implementation of an employment subsidy program, a more flexible wage system, and a corporate governance structure that places workers rights above shareholders.

    Download Info

    If 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.
    File URL: http://www.imf.org/external/pubs/cat/longres.aspx?sk=24590
    Download Restriction: no

    Bibliographic Info

    Paper provided by International Monetary Fund in its series IMF Working Papers with number 11/15.

    as in new window
    Length: 30
    Date of creation: 01 Jan 2011
    Date of revision:
    Handle: RePEc:imf:imfwpa:11/15

    Contact details of provider:
    Postal: International Monetary Fund, Washington, DC USA
    Phone: (202) 623-7000
    Fax: (202) 623-4661
    Email:
    Web page: http://www.imf.org/external/pubind.htm
    More information through EDIRC

    Order Information:
    Web: http://www.imf.org/external/pubs/pubs/ord_info.htm

    Related research

    Keywords: Unemployment; Economic recession; Global Financial Crisis 2008-2009; Labor markets; Manufacturing sector; employment; wages; wage; unemployment rate; employment losses; overtime pay; employment flexibility; worker; employment adjustment; compensation; regular employment; employment protection; unemployment insurance; employment contracts; benefits; total employment; share of employment; wage rate; wage subsidy; wage index; employment security; unemployment benefits; labor demand; salaries; employment experiences; effect on employment; employment dynamic; composition of employment; unemployment rates; employment statistics; unemployment statistics; employment level; rising unemployment; employment protection legislation; employment situation; job search; effects on employment; employment effects; employment market; low employment; employment subsidy; structural unemployment; wage level; employment growth; net employment; retirement age; wage indices; wage structure; employment levels; lifetime employment; rising unemployment rate; job creation; employment agency; employment subsidy program; wage equation;

    This paper has been announced in the following NEP Reports:

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:imf:imfwpa:11/15. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jim Beardow) or (Hassan Zaidi).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.