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Gross Worker Flows and Unemployment Dynamics in Japan

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Abstract

This paper studies worker flows dynamics in Japan for the period between 1980 and 2009. We construct gross worker flows data from the monthly Labour Force Survey. Our data enables us to examine the size and cyclical patterns of the flows and transition rates between the states of employment, unemployment, and not-in-the labor force. We find that the cyclical pattern of worker flows is similar to that found in other countries, while worker flows in Japan are generally smaller than those in the U.S. and European countries. We also decompose changes in unemployment into contributions due to changes in unemployment inflow and outflow rates. We find that both inflow and outflow rate play an important role to account for variation in the unemployment rate in Japan.

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File URL: http://www.iuj.ac.jp/workingpapers/index.cfm?File=EMS_2010_07.pdf
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Bibliographic Info

Paper provided by Research Institute, International University of Japan in its series Working Papers with number EMS_2010_07.

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Length: 32 pages
Date of creation: Jun 2010
Date of revision:
Handle: RePEc:iuj:wpaper:ems_2010_07

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Keywords: Unemployment dynamics; Gross worker flows; Job finding rate; Separation rate;

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References

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  1. Hoyt Bleakley & Ann E. Ferris & Jeffrey C. Fuhrer, 1999. "New data on worker flows during business cycles," New England Economic Review, Federal Reserve Bank of Boston, issue Jul, pages 49-76.
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  18. Kuroda, Sachiko, 2003. "Analysis of Changes in Japan's Unemployment Rate Using Gross Flow Data," Monetary and Economic Studies, Institute for Monetary and Economic Studies, Bank of Japan, vol. 21(1), pages 69-104, February.
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  25. T. Aldrich Finegan & Roberto V. Penaloza & Mototsugu Shintani, 2008. "Reassessing Cyclical Changes in Workers' Labor Market Status: Gross Flows and the Types of Workers Who Determine Them," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 61(2), pages 244-257, January.
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Citations

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Cited by:
  1. Ching-Yang Lin & Hiroaki Miyamoto, 2014. "An Estimated Search and Matching Model of the Japanese Labor Market," Working Papers EMS_2014_02, Research Institute, International University of Japan.
  2. Hiroaki Miyamoto, 2012. "Growth and Non-Regular Employment," Working Papers EMS_2012_04, Research Institute, International University of Japan.
  3. Ryuta Ray Kato & Hiroaki Miyamoto, 2012. "Fiscal Stimulus and Labor Market Dynamics in Japan," Working Papers EMS_2012_19, Research Institute, International University of Japan.
  4. Ching-Yang Lin & Hiroaki Miyamoto, 2013. "Estimating a Search and Matching Model of the Ag-gregate Labor Market in Japan," Working Papers EMS_2013_09, Research Institute, International University of Japan.
  5. Makoto Kakinaka & Hiroaki Miyamoto, 2012. "Unemployment and labour force participation in Japan," Applied Economics Letters, Taylor & Francis Journals, vol. 19(11), pages 1039-1043, July.
  6. Makoto Kakinaka & Hiroaki Miyamoto, 2012. "Extensive vs. Intensive Margin in Japan," Working Papers EMS_2012_14, Research Institute, International University of Japan.
  7. Sinem Ayhan, 2013. "Do non-wage cost rigidities slow down employment? Evidence from Turkey," IZA Journal of Labor Policy, Springer, vol. 2(1), pages 1-23, December.

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