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What Kind of Job is Safer? A Note on Occupational Vulnerability

Author

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  • Bardhan Ashok

    (Haas School of Business, University of California, Berkeley)

  • Tang John

    (U.S. Census Bureau)

Abstract

The present recession has brought into stark focus this question: Which occupations are more vulnerable to job loss? Since shocks to the economy affect employment across multiple occupations, we employ a new approach to assess the vulnerability of jobs due to such shocks by measuring how diversified an occupation is across sectors. Using U.S. employment data between the years 1999 and 2005, which include the downturn in the aftermath of the internet bust and the subsequent recovery, we find that an occupation spread across multiple industries is less volatile in terms of both numbers employed and the average wage. The result is robust to occupation size. Including various measures of an occupation's "footloose" nature and geographical mobility does not affect the results. The evidence presented distills a key lesson from a previous downturn and recovery, and could improve our understanding of issues relating to business cycles, offshoring and higher education.

Suggested Citation

  • Bardhan Ashok & Tang John, 2010. "What Kind of Job is Safer? A Note on Occupational Vulnerability," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-17, January.
    • Handle: RePEc:bpj:bejeap:v:10:y:2010:i:1:n:1
    DOI: 10.2202/1935-1682.2299
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    1. Lo Bue, Maria C. & Le, Tu Thi Ngoc & Santos Silva, Manuel & Sen, Kunal, 2022. "Gender and vulnerable employment in the developing world: Evidence from global microdata," World Development, Elsevier, vol. 159(C).
    2. Davaadorj, Zagdbazar & Enkhtaivan, Bolortuya & Lu, Wenling, 2024. "The role of job titles in online peer-to-peer lending: An empirical investigation on skilled borrowers," Journal of Behavioral and Experimental Finance, Elsevier, vol. 41(C).
    3. Rémi BAZILLIER & Cristina TRANDAS-BOBOC & Oana CALAVREZO, 2014. "Employment vulnerability in Europe: Is there a migration effect?," LEO Working Papers / DR LEO 1825, Orleans Economics Laboratory / Laboratoire d'Economie d'Orleans (LEO), University of Orleans.
    4. Colleen K. Chrisinger & Christopher S. Fowler & Rachel Garshick Kleit, 2012. "Shared Skills: Occupation Clusters for Poverty Alleviation and Economic Development in the US," Urban Studies, Urban Studies Journal Limited, vol. 49(15), pages 3403-3425, November.
    5. Johnston Richard & Hogg Ryan & Miller Kristel, 2021. "Who is Most Vulnerable? Exploring Job Vulnerability, Social Distancing and Demand During COVID-19," The Irish Journal of Management, Sciendo, vol. 40(2), pages 100-142, December.
    6. Carmen UZLAU & Mariana BALAN & Corina-Maria ENE, 2017. "Labour Market Vulnerabilities In Romania During The Post- Crisis Period," Internal Auditing and Risk Management, Athenaeum University of Bucharest, vol. 46(2), pages 12-27, June.

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    More about this item

    Keywords

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    JEL classification:

    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor
    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers
    • F2 - International Economics - - International Factor Movements and International Business

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