The Effects of Unemployment Experiences on Subsequent Wages in Italy
This paper has evaluated the impact of unemployment experiences on subsequent wages for a panel of Italian individuals, extracted from the European Community and Household Panel (ECHP) data and ISTAT (Italian National Statistics Office) data for the unemployment rate, selected by age, corresponding year and the region in which the individuals are living. In particular, we have implemented a Within-Group (WG) fixed effect model to deal with the unobserved heterogeneity econometric issue. Indeed, this method allows unobserved effects to be correlated with the observables. From the empirical results, we may observe that unemployed men returning to work have to tolerate a wage penalty of about 5%, while unemployment duration effect is not significant. The estimates, by geographical area, have pointed out a scarring effect higher in the northern regions than in the southern area of the country.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Leonard, Jonathan & Van Audenrode, Marc, 1995. "The Duration of Unemployment and the Persistence of Wages," CEPR Discussion Papers 1227, C.E.P.R. Discussion Papers.
- Ackum, Susanne, 1991. " Youth Unemployment, Labor Market Programs and Subsequent Earnings," Scandinavian Journal of Economics, Wiley Blackwell, vol. 93(4), pages 531-43.
- BÃ¶heim, RenÃ© & Taylor, Mark P., 2000.
"The search for success: do the unemployed find stable employment?,"
ISER Working Paper Series
2000-05, Institute for Social and Economic Research.
- Boheim, Rene & Taylor, Mark P., 2002. "The search for success: do the unemployed find stable employment?," Labour Economics, Elsevier, vol. 9(6), pages 717-735, December.
- Louis S. Jacobson & Robert J. LaLonde & Daniel G. Sullivan, 1993. "Long-term earnings losses of high-seniority displaced workers," Economic Perspectives, Federal Reserve Bank of Chicago, issue Nov, pages 2-20.
- Jacob A. Mincer, 1974. "Introduction to "Schooling, Experience, and Earnings"," NBER Chapters, in: Schooling, Experience, and Earnings, pages 1-4 National Bureau of Economic Research, Inc.
- Christian Belzil, 1995. "Unemployment Duration Stigma and Re-employment Earnings," Canadian Journal of Economics, Canadian Economics Association, vol. 28(3), pages 568-85, August.
- Topel, Robert, 1990. "Specific capital and unemployment: Measuring the costs and consequences of job loss," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 33(1), pages 181-214, January.
- Gregg, Paul & Tominey, Emma, 2005. "The wage scar from male youth unemployment," Labour Economics, Elsevier, vol. 12(4), pages 487-509, August.
- Kletzer, Lori Gladstein, 1989. "Returns to Seniority after Permanent Job Loss," American Economic Review, American Economic Association, vol. 79(3), pages 536-43, June.
- Narendranathan, W. & Elias, P., 1990.
"Influences of Past History on the Incidence of Youth Unemployment: Empirical Finding for the U.K,"
The Warwick Economics Research Paper Series (TWERPS)
369, University of Warwick, Department of Economics.
- Narendranathan, Wiji & Elias, Peter, 1993. "Influences of Past History on the Incidence of Youth Unemployment: Empirical Findings for the UK," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 55(2), pages 161-85, May.
- Jacobson, Louis S & LaLonde, Robert J & Sullivan, Daniel G, 1993.
"Earnings Losses of Displaced Workers,"
American Economic Review,
American Economic Association, vol. 83(4), pages 685-709, September.
- Louis S. Jacobson & Robert J. LaLonde & Daniel G. Sullivan, 1992. "Earnings losses of displaced workers," Working Paper Series, Macroeconomic Issues 92-28, Federal Reserve Bank of Chicago.
- Louis S. Jacobson & Robert J. LaLonde & Daniel Sullivan, 1992. "Earnings Losses of Displaced Workers," Upjohn Working Papers and Journal Articles 92-11, W.E. Upjohn Institute for Employment Research.
- Paul Swaim & Michael Podgursky, 1991. "The Distribution of Economic Losses among Displaced Workers: A Replication," Journal of Human Resources, University of Wisconsin Press, vol. 26(4), pages 742-755.
- Topel, Robert H, 1991.
"Specific Capital, Mobility, and Wages: Wages Rise with Job Seniority,"
Journal of Political Economy,
University of Chicago Press, vol. 99(1), pages 145-76, February.
- Robert H. Topel, 1990. "Specific Capital, Mobility, and Wages: Wages Rise with Job Seniority," NBER Working Papers 3294, National Bureau of Economic Research, Inc.
- Amynah Vanessa Gangji & Robert Plasman, 2007.
"Microeconomic analysis of unemployment persistence in Belgium,"
DULBEA Working Papers
07-20.RS, ULB -- Universite Libre de Bruxelles.
- Amynah Gangji, 2008. "Microeconomic analysis of unemployment persistence in Belgium," International Journal of Manpower, Emerald Group Publishing, vol. 29(3), pages 280-298, August.
- Arulampalam, Wiji, 2001.
"Is Unemployment Really Scarring? Effects of Unemployment Experiences on Wages,"
Royal Economic Society, vol. 111(475), pages F585-606, November.
- Arulampalam, Wiji, 2000. "Is Unemployment Really Scarring? Effects of Unemployment Experiences on Wages," IZA Discussion Papers 189, Institute for the Study of Labor (IZA).
- Mortensen, Dale T, 1988. "Wages, Separations, and Job Tenure: On-the-Job Specific Training or Matching?," Journal of Labor Economics, University of Chicago Press, vol. 6(4), pages 445-71, October.
- Mark B. Stewart, 2002. "The Inter-related Dynamics of Unemployment and Low Pay," 10th International Conference on Panel Data, Berlin, July 5-6, 2002 B2-4, International Conferences on Panel Data.
- Michael Podgursky & Paul Swaim, 1987. "Job Displacement and Earnings Loss: Evidence from the Displaced Worker Survey," ILR Review, Cornell University, ILR School, vol. 41(1), pages 17-29, October.
- Gary S. Becker, 1975. "Human Capital: A Theoretical and Empirical Analysis, with Special Reference to Education, Second Edition," NBER Books, National Bureau of Economic Research, Inc, number beck75-1, 08.
- Claudio Lupi & Patrizia Ordine, 2002. "Unemployment scarring in high unemployment regions," Economics Bulletin, AccessEcon, vol. 10(2), pages 1-8.
- repec:ebl:ecbull:v:10:y:2002:i:2:p:1-8 is not listed on IDEAS
When requesting a correction, please mention this item's handle: RePEc:bxr:bxrceb:2013/81323. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Benoit Pauwels)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.