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The Dynamic Demand for Part-Time and Full-Time Labour

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  • Friesen, Jane

Abstract

This paper explores the hypothesis that part-time work plays a distinct role in the adjustment strategies of firms in the face of economic shocks. Dynamic labor demand equations for part-time and full-time labor estimated from monthly data from the US Current Population Survey indicate that part-time labor is adjusted more rapidly in a number of industries. Furthermore, the adjustment of the two types of labor is not independent: disequilibrium in one slows the rate of adjustment of the other. These results lend support to the notion that part-time labor provides an important source of dynamic flexibility in some industries. Policies that reduce the relative costs of adjusting part-time labor, and changes in the economic environment that make flexibility more important to firms, may explain some of the growth in part-time employment that has taken place over the last several decades. Copyright 1997 by The London School of Economics and Political Science

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  • Friesen, Jane, 1997. "The Dynamic Demand for Part-Time and Full-Time Labour," Economica, London School of Economics and Political Science, vol. 64(255), pages 495-507, August.
  • Handle: RePEc:bla:econom:v:64:y:1997:i:255:p:495-507
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    Cited by:

    1. Klinger, Sabine & Wolf, Katja, 2008. "What explains changes in full-time and part-time employment in Western Germany? : a new method on an old question," IAB Discussion Paper 200807, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    2. Marco Francesconi, 2002. "A Joint Dynamic Model of Fertility and Work of Married Women," Journal of Labor Economics, University of Chicago Press, vol. 20(2), pages 336-380, Part.
    3. Bruce C. Fallick, 1998. "Part-time work and industry growth," Finance and Economics Discussion Series 1998-16, Board of Governors of the Federal Reserve System (U.S.).
    4. Dominique Anxo & Shakir Hussain & Ghazi Shukur, 2012. "The demand of part-time in European companies: a multilevel modelling approach," Applied Economics, Taylor & Francis Journals, vol. 44(8), pages 1057-1066, March.
    5. Euwals, Rob & Hogerbrugge, Maurice, 2004. "Explaining the Growth of Part-Time Employment: Factors of Supply and Demand," IZA Discussion Papers 1124, Institute for the Study of Labor (IZA).
    6. Friesen, Jane, 2005. "Statutory firing costs and lay-offs in Canada," Labour Economics, Elsevier, vol. 12(2), pages 147-168, April.
    7. Joel Karlsson & Jonas Månsson, 2014. "Getting a full-time job as a part-time unemployed: How much does spatial context matter?," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(1), pages 179-195, August.
    8. Guven Sak & Erol Taymaz, 2004. "How Flexible are Small Firms? An Analysis on the Determinants of Flexibility," Working Papers 0416, Economic Research Forum, revised 08 May 2004.
    9. Rob Euwals & Maurice Hogerbrugge, 2004. "Explaining the growth of part-time employment; factors of supply and demand," CPB Discussion Paper 31, CPB Netherlands Bureau for Economic Policy Analysis.
    10. Hart, Robert A., 2006. "Real Wage Cyclicality of Female Stayers and Movers in Part-Time and Full-Time Jobs," IZA Discussion Papers 2364, Institute for the Study of Labor (IZA).
    11. Euwals, Rob & Hogerbrugge, Maurice, 2006. "Explaining the Growth of Part-Time Employment: Factors of Supply and Demand," CEPR Discussion Papers 5595, C.E.P.R. Discussion Papers.

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