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The Complexity of Job Mobility Among Young Men

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  • Derek Neal

Abstract

The model of job search involves both employer matches and career matches and incorporates an asymmetry in the search technology. Workers may change employers without changing careers, but cannot search over possible lines of work while working for one employer. The optimal policy implies a two-stage search strategy in which workers search over types of work first. After finding a good match with a particular line of work, they then concentrate on finding an employer. The patterns of job changes observed in the NLSY provide considerable support for the two-stage search policy implied by the model. Among male workers who are changing jobs, those who have previously changed employers while working in their current career are much less likely to change careers during the current job change. This result holds even among workers with similar levels of career-specific work experience. Further, the link between experience and the complexity of job changes operates almost entirely through the two-stage mechanism identified in the model. Among those who are in the first stage (no previous intra-career moves) there is little relationship between experience and the complexity of job changes.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 6662.

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Date of creation: Jul 1998
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Publication status: published as Journal of Labor Economics, Vol. 17, no. 2 (April 1999): 237-261
Handle: RePEc:nbr:nberwo:6662

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  1. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-90, October.
  2. Jacob Mincer & Boyan Jovanovic, 1981. "Labor Mobility and Wages," NBER Chapters, in: Studies in Labor Markets, pages 21-64 National Bureau of Economic Research, Inc.
  3. Brian P. McCall, 1988. "Occupational Matching: A Test of Sorts," Working Papers 617, Princeton University, Department of Economics, Industrial Relations Section..
  4. Hall, Robert E, 1982. "The Importance of Lifetime Jobs in the U.S. Economy," American Economic Review, American Economic Association, vol. 72(4), pages 716-24, September.
  5. Harhoff, Dietmar & Kane, Thomas J., 1995. "Is the German apprenticeship system a panacea for the US labour market?," ZEW Discussion Papers 95-19, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  6. Jovanovic, Boyan, 1979. "Firm-specific Capital and Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(6), pages 1246-60, December.
  7. Daniel Parent, 1995. "Industry-Specific Capital and the Wage Profile: Evidence from the NLSY and the PSID," CIRANO Working Papers 95s-26, CIRANO.
  8. Miller, Robert A, 1984. "Job Matching and Occupational Choice," Journal of Political Economy, University of Chicago Press, vol. 92(6), pages 1086-120, December.
  9. Neal, Derek, 1995. "Industry-Specific Human Capital: Evidence from Displaced Workers," Journal of Labor Economics, University of Chicago Press, vol. 13(4), pages 653-77, October.
  10. Johnson, William R, 1978. "A Theory of Job Shopping," The Quarterly Journal of Economics, MIT Press, vol. 92(2), pages 261-78, May.
  11. repec:fth:prinin:350 is not listed on IDEAS
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  1. Au mauvais endroit au mauvais moment? Le devenir des primo-entrants sur un marché du travail en crise
    by arthur.heim@education.gouv.fr (Arthur Heim) in BS Initiative on 2014-06-17 08:09:18
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  1. Recursive Macroeconomic Theory

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