Unemployment and Non-Employment: Heterogeneities in Labour Market States
AbstractDetermining how to distinguish between unemployment and non-participation is important and controversial. The conventional approach employs a priori reasoning together with self-reported current behaviour. This paper employs an evidence-based classification of labour force status using information about the consequences of the behaviour of the nonemployed. We find that marginal attachment—defined as desiring work, although not searching—is a distinct labour market state, lying between those who do not desire work and the unemployed. Furthermore, there are important heterogeneities within these non-employment states. Two subsets of non-participants—both engaged in “waiting”—display behaviour similar to the unemployed.
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Bibliographic InfoPaper provided by McMaster University in its series Department of Economics Working Papers with number 2002-05.
Length: 46 pages
Date of creation: May 2002
Date of revision:
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Other versions of this item:
- Stephen R. G. Jones & W. Craig Riddell, 2006. "Unemployment and Nonemployment: Heterogeneities in Labor Market States," The Review of Economics and Statistics, MIT Press, vol. 88(2), pages 314-323, May.
- C82 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Macroeconomic Data; Data Access
- E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
- J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
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