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A Matching Model of Crowding-Out and On-the-Job Search (with an Application to Spain)

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Author Info

  • Dolado, Juan José

    () (Universidad Carlos III de Madrid)

  • Jansen, Marcel

    () (Universidad Autónoma de Madrid)

  • Jimeno, Juan F.

    () (Bank of Spain)

Abstract

This paper considers a matching model of heterogenous workers and jobs which includes onthe- job search. High-educated workers transitorily accept unskilled jobs and continue to search for skilled jobs. We study the implications of this model for the unemployment rates of high and low-educated workers, for the share of mismatched workers and wage inequality both within and between skill groups. The model is used to shed light on the Spanish experience following a large educational upgrading since the mid-eighties.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 612.

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Length: 39 pages
Date of creation: Oct 2002
Date of revision:
Handle: RePEc:iza:izadps:dp612

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Related research

Keywords: crowding-out; matching; on-the-job search; unemployment;

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Citations

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Cited by:
  1. Hernanz, Virginia & Jimeno, Juan Francisco & Kugler, Adriana D., 2003. "Employment Consequences of Restrictive Permanent Contracts: Evidence from Spanish Labour Market Reforms," CEPR Discussion Papers 3724, C.E.P.R. Discussion Papers.
  2. Eva, MORENO-GALBIS & Henri R., SNEESSENS, 2004. "Low-Skilled Unemployment, Capital-Skill Complementarity and Embodied Technical Progress," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2004025, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  3. Sattinger, Michael, 2006. "Overlapping labour markets," Labour Economics, Elsevier, vol. 13(2), pages 237-257, April.
  4. Guell, Maia & Petrongolo, Barbara, 2007. "How binding are legal limits? Transitions from temporary to permanent work in Spain," Labour Economics, Elsevier, vol. 14(2), pages 153-183, April.
  5. Carmen García Prieto & Angel Martín Román & Carlos Pérez Domínguez, . "Actual and potential returns to schooling in Spain," Studies on the Spanish Economy 157, FEDEA.
  6. Blázquez, Maite & Jansen, Marcel, . "Efficiency in a matching model with heterogeneous agents: too many good or bad jobs?," Open Access publications from Universidad Carlos III de Madrid info:hdl:10016/301, Universidad Carlos III de Madrid.
  7. Sergio Destefanis & Raquel Fonseca, 2006. "Labour-Market Reforms and the Beveridge Curve: Some Macro Evidence for Italy," Working Papers 436, RAND Corporation Publications Department.
  8. Eva, MORENO GALBIS, 2002. "Changes in the skill structure of the labour force. An empirical application to the Spanish case," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2002035, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  9. Cristina Fernández, 2006. "The Role of Education vis-a-vis Job Experience in Explaining the Transitions to Employment in the Spanish Youth Labour Market," Spanish Economic Review, Springer, vol. 8(3), pages 161-187, September.
  10. Pierrard, Olivier & Sneessens, Henri R., 2003. "Low-Skilled Unemployment, Biased Technological Shocks and Job Competition," IZA Discussion Papers 784, Institute for the Study of Labor (IZA).
  11. Eva, MORENO-GALBIS, 2004. "Unemployment and Endogenous Growth with Capital-Skill Complementarity," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2004001, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).

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