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Cyclical versus Secular Movements in Employment Creation and Destruction

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Author Info
Randall W. Eberts
Edward Montgomery

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Abstract

This paper offers an analysis of cyclical and secular patterns in job turnover using establishment-level data. We provide evidence from multiple data sets that show that the job turnover process is markedly different over time and across regions. Over time, we find that employment fluctuations are associated primarily with job destruction. Across regions, employment differences are associated more with job creation. Differences were found between the cyclical (within) and secular (across state) responses in job creation and destruction to output shocks. Movements in job creation and destruction were also found to be related to the types of human capital externalities or technological spillovers used to explain long-run differences in regional or national growth rates.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 5162.

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Date of creation: Jun 1995
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Handle: RePEc:nbr:nberwo:5162

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Related research
Keywords:

Find related papers by JEL classification:
J63 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Turnover; Vacancies; Layoffs
E24 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution

Cited by:
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  1. R. Jason Faberman, 2007. "The relationship between the establishment age distribution and urban growth," Working Papers 07-18, Federal Reserve Bank of Philadelphia. [Downloadable!]
  2. John Francis, 2007. "Asymmetries in regional labor markets, migration and economic geography," The Annals of Regional Science, Springer, vol. 41(1), pages 125-143, March. [Downloadable!] (restricted)
  3. R. Jason Faberman, 2006. "Job Flows and the Recent Business Cycle: Not All "Recoveries" Are Created Equal," Working Papers 391, U.S. Bureau of Labor Statistics. [Downloadable!]
  4. Alan Heston, 1997. "Measuring and analyzing aggregate fluctuations: the importance of building from microeconomic evidence - commentary," Review, Federal Reserve Bank of St. Louis, issue May, pages 79-82. [Downloadable!]
  5. R. Jason Faberman, 2005. "What’s In a City?: Understanding the Micro-Level Employer Dynamics Underlying Urban Growth," Working Papers 386, U.S. Bureau of Labor Statistics. [Downloadable!]
  6. Petri Böckerman & Mika Maliranta, 2001. "Regional disparities in gross job and worker flows in Finland," Finnish Economic Papers, Finnish Economic Association, vol. 14(2), pages 84-103, Autumn. [Downloadable!]
  7. Böckerman, Petri & Hämäläinen, Kari & Maliranta, Mika, 2002. "Sources of job and worker flows: Evidence from a panel of regions," MPRA Paper 4887, University Library of Munich, Germany. [Downloadable!]
    Other versions:
  8. Catherine Armington & Alicia Robb & Zoltan J Acs, 1999. "Measures Of Job Flow Dynamics In The U.S.," Working Papers 99-1, Center for Economic Studies, U.S. Census Bureau. [Downloadable!]
  9. R. Jason Faberman, 2003. "Job Flows and Establishment Characteristics: Variations Across U.S. Metropolitan Areas," William Davidson Institute Working Papers Series 2003-609, William Davidson Institute at the University of Michigan Stephen M. Ross Business School. [Downloadable!]
Statistics
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