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Cyclical and Market Determinants of Involuntary Part-Time Employment

Author

Listed:
  • Valletta, Robert G.

    (Federal Reserve Bank of San Francisco)

  • Bengali, Leila

    (Yale University)

  • van der List, Catherine

    (Federal Reserve Bank of San Francisco)

Abstract

We examine the determinants of involuntary part-time employment, focusing on variation associated with the business cycle and variation attributable to more persistent structural features of the labor market. Our theoretical framework distinguishes between workers' decision to seek part-time work and employer demand for part-time work hours, emphasizing demand and supply determinants of involuntary part-time work such as workplace technology, labor costs, and workforce demographics. We conduct regression analyses using state-level panel and individual data for the years 2003-2014. The results show that the combination of cyclical variation and the influence of market-level factors can explain virtually all of the variation in the aggregate incidence of involuntary part-time employment since the Great Recession.

Suggested Citation

  • Valletta, Robert G. & Bengali, Leila & van der List, Catherine, 2016. "Cyclical and Market Determinants of Involuntary Part-Time Employment," IZA Discussion Papers 9738, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp9738
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    References listed on IDEAS

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    Cited by:

    1. Gianluca Busilacchi & Giovanni Gallo & Matteo Luppi, 2022. "I would like to but I cannot. The determinants of involuntary part-time employment: Evidence from Italy," Center for the Analysis of Public Policies (CAPP) 0177, Universita di Modena e Reggio Emilia, Dipartimento di Economia "Marco Biagi".
    2. Daniel Borowczyk-Martins & Etienne Lalé, 2018. "The welfare effects of involuntary part-time work," Oxford Economic Papers, Oxford University Press, vol. 70(1), pages 183-205.
    3. Giorgos Gouzoulis & Panagiotis (Takis) Iliopoulos & Giorgos Galanis, 2023. "Financialisation, Underemployment, & the Disconnected Greek Capitalism," Working Papers 112, Queen Mary, University of London, School of Business and Management, Centre for Globalisation Research.
    4. David N. F. Bell & David G. Blanchflower, 2021. "Underemployment in the United States and Europe," ILR Review, Cornell University, ILR School, vol. 74(1), pages 56-94, January.
    5. Brand, Claus & Obstbaum, Meri & Coenen, Günter & Sondermann, David & Lydon, Reamonn & Ajevskis, Viktors & Hammermann, Felix & Angino, Siria & Hernborg, Nils & Basso, Henrique & Hertweck, Matthias & Bi, 2021. "Employment and the conduct of monetary policy in the euro area," Occasional Paper Series 275, European Central Bank.
    6. Daniel Borowczyk-Martins & Etienne Lalé, 2016. "The Rise of Part-time Employment," Sciences Po publications 2016-04, Sciences Po.
    7. Borowczyk-Martins, Daniel & Lalé, Etienne, 2020. "The ins and outs of involuntary part-time employment," Labour Economics, Elsevier, vol. 67(C).
    8. Miežienė Rasa & Krutulienė Sandra & Gruževskis Boguslavas, 2021. "Identifying the Main Determinants of Part-Time Employment in EU Countries," Review of Economic Perspectives, Sciendo, vol. 21(2), pages 151-171, June.
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    11. Brenda Samaniego de la Parra & Andrea Otero-Cortés & Leonardo Fabio Morales, 2021. "The Labor Market Effects of Part-Time Contributions to Social Security: Evidence from Colombia," Documentos de trabajo sobre Economía Regional y Urbana 302, Banco de la Republica de Colombia.
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    13. Leila Bengali & Mary C. Daly & Olivia Lofton & Robert G. Valletta, 2021. "The Economic Status of People with Disabilities and Their Families since the Great Recession," The ANNALS of the American Academy of Political and Social Science, , vol. 695(1), pages 123-142, May.
    14. Crawley, Andrew & Welch, Sarah & Yung, Julieta, 2021. "Improving estimates of job matching efficiency with different measures of unemployment," Journal of Macroeconomics, Elsevier, vol. 67(C).
    15. repec:hal:spmain:info:hdl:2441/7arg7blugi9b2o08qjafcpg8e2 is not listed on IDEAS
    16. Congregado, Emilio & Garcia-Clemente, Javier & Rubino, Nicola & Vilchez, Inmaculada, 2023. "Testing hysteresis for the US and UK involuntary part-time employment," MPRA Paper 118115, University Library of Munich, Germany.
    17. Griffy, Benjamin & Gomis-Porqueras, Pedro, 2020. "Part and Full-Time Employment over the Business Cycle," MPRA Paper 105095, University Library of Munich, Germany.
    18. Juan Acosta-Ballesteros & María del Pilar Osorno-del Rosal & Olga María Rodríguez-Rodríguez, 2021. "Measuring the effect of gender segregation on the gender gap in time-related underemployment," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 55(1), pages 1-16, December.
    19. John C. Williams, 2016. "Trick of the light? The U.S. economy, global growth, and international risks in perspective. A speech at the Lee Kuan Yew School of Public Policy and U.S. Embassy Speaker Series, Singapore, Singapore,," Speech 165, Federal Reserve Bank of San Francisco.
    20. Kang, Hyunju & Park, Jaevin & Suh, Hyunduk, 2020. "The rise of part-time employment in the great recession: Its causes and macroeconomic effects," Journal of Macroeconomics, Elsevier, vol. 66(C).
    21. Giorgos Gouzoulis & Panagiotis (Takis) Iliopoulos & Giorgos Galanis, 2023. "Financialization and the rise of atypical work," British Journal of Industrial Relations, London School of Economics, vol. 61(1), pages 24-45, March.
    22. Jesus Felipe & Yasuyuki Sawada & Gemma Estrada & Donna Faye Bajaro, 2020. "Why do Filipinos desire to work more hours?," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 34(2), pages 106-132, November.
    23. Theresa Markefke & Rebekka Rehm, 2020. "Macroeconomic Determinants of Involuntary Part-Time Employment in Germany," Working Paper Series in Economics 103, University of Cologne, Department of Economics.

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    More about this item

    Keywords

    part-time employment; business cycle; supply and demand;
    All these keywords.

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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