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State Dependence and Labor Market Transitions in the European Union

Author

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  • Richard Duhautois
  • Christine Erhel
  • Mathilde Guergoat-Larivière

Abstract

This article proposes an empirical analysis of labor market mobility in the European Union based on EU-SILC data. It uses conditional dynamic multinomial logit models that allow state dependence and unobserved heterogeneity to be disentangled. The article investigates state dependence in quarterly labor market transitions among fulltime employment, part-time employment, unemployment and inactivity, comparing across five country groups (the UK, continental, eastern, nordic and southern). It shows that state dependence in unemployment or inactivity is generally lower in the UK than in other country groups except the nordic group. The persistence of part-time employment appears higher than in the UK for all groups, especially in continental countries. Differences by social group (according to age, sex and education) are also found at the European level and vary across country groups.

Suggested Citation

  • Richard Duhautois & Christine Erhel & Mathilde Guergoat-Larivière, 2018. "State Dependence and Labor Market Transitions in the European Union," Annals of Economics and Statistics, GENES, issue 131, pages 59-82.
  • Handle: RePEc:adr:anecst:y:2018:i:131:p:59-82
    DOI: 10.15609/annaeconstat2009.131.0059
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    File URL: https://www.jstor.org/stable/10.15609/annaeconstat2009.131.0059
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    References listed on IDEAS

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    Cited by:

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    More about this item

    Keywords

    Labor Market Mobility; State Dependence; Unobserved Heterogeneity; European Union; Inequalities; Institutions.;
    All these keywords.

    JEL classification:

    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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