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The cyclical behaviour of job and worker flows

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Author Info

  • Giuseppe Tattara

    () (Department of Economics, University Of Venice Cà Foscari)

  • Marco Valentini

    (Tolomeo srl)

Abstract

This research exploits a large employer-level panel dataset in order to analyse employment and worker flows. Excess reallocation, the difference between worker and job flows at the firm level, is substantial and has a definite cyclical pattern. Both accessions and separations are cyclical in contrast to the conventional wisdom that assumes separation to be countercyclical. Separations increase in upswing, following the accession increase, and decline in recession. Unemployment during recession is not, to a large extent, due to an increase in the rate at which workers separate from their employers, as traditionally assumed among macroeconomists, but to the decline in job creations.

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Bibliographic Info

Paper provided by Department of Economics, University of Venice "Ca' Foscari" in its series Working Papers with number 2007_16.

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Length: 22
Date of creation: 2007
Date of revision:
Handle: RePEc:ven:wpaper:2007_16

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Related research

Keywords: Job Flows; Worker Flows; Reallocation; Cyclical behaviour;

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Cited by:
  1. Cristian Bartolucci & Francesco Devicienti, 2012. "Better Workers Move to Better Firms: A Simple Test to Identify Sorting," Carlo Alberto Notebooks 259, Collegio Carlo Alberto.
  2. David Card & Francesco Devicienti & Agata Maida, 2010. "Rent-sharing, Holdup, and Wages: Evidence from Matched Panel Data," NBER Working Papers 16192, National Bureau of Economic Research, Inc.

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