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Job searchers, job matches and the elasticity of matching

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  • Broersma, Lourens
  • Van Ours, Jan C.

Abstract

This paper stresses the importance of a specification of the matching function in which the measure of job matches corresponds to the measure of job searchers. In many empirical studies on the matching function this requirement has not been fulfilled because it is difficult to find information about employed job searchers and job searchers from outside the labour market. In this paper, we specify and estimate matching functions where the flow corresponds to the correct stock. We use several approximations for the stock of non-unemployed job searchers. We find that the estimation results are sensitive to the approximation we use. Our main conclusion is that it is important to account for the behaviour of non-unemployed job searchers since otherwise the estimated parameters of the matching function may be seriously biased.
(This abstract was borrowed from another version of this item.)
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Broersma, Lourens & Van Ours, Jan C., 1999. "Job searchers, job matches and the elasticity of matching," Labour Economics, Elsevier, vol. 6(1), pages 77-93, March.
  • Handle: RePEc:eee:labeco:v:6:y:1999:i:1:p:77-93
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    References listed on IDEAS

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    1. Burgess, Simon M., 1994. "Matching models and labour market flows," European Economic Review, Elsevier, vol. 38(3-4), pages 809-816, April.
    2. van Ours, Jan C, 1994. "Matching Unemployed and Vacancies at the Public Employment Office," Empirical Economics, Springer, vol. 19(1), pages 37-54.
    3. Burda, Michael & Wyplosz, Charles, 1994. "Gross worker and job flows in Europe," European Economic Review, Elsevier, vol. 38(6), pages 1287-1315, June.
    4. Layard, R. & Nickell, S., 1991. "Unemployment in the OECD Countries," Economics Series Working Papers 99130, University of Oxford, Department of Economics.
    5. Pablo Antolín, 1994. "Unemployment flows and vacancies in Spain," Working Papers. Serie EC 1994-05, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    6. Christopher A. Pissarides, 1994. "Search Unemployment with On-the-job Search," Review of Economic Studies, Oxford University Press, vol. 61(3), pages 457-475.
    7. Burgess, Simon M, 1993. "A Model of Competition between Unemployed and Employed Job Searchers: An Application to the Unemployment Outflow Rate in Britain," Economic Journal, Royal Economic Society, vol. 103(420), pages 1190-1204, September.
    8. van Ours, J.C. & Gorter, C., 1994. "Matching unemployment and vacancies in regional labour markets; An empirical analysis for the Netherlands," Other publications TiSEM 63318c4d-4008-4f29-94eb-a, Tilburg University, School of Economics and Management.
    9. Albert Ma, Ching-to & Weiss, Andrew M., 1993. "A signaling theory of unemployment," European Economic Review, Elsevier, vol. 37(1), pages 135-157, January.
    10. van Ours, Jan C., 1995. "An empirical note on employed and unemployed job search," Economics Letters, Elsevier, vol. 49(4), pages 447-452, October.
    11. Lourens Broersma, 1997. "Competition between employed and unemployed job searchers: is there a difference between the UK and The Netherlands?," Applied Economics Letters, Taylor & Francis Journals, vol. 4(3), pages 199-203.
    12. van Ours, J. C., 1991. "The efficiency of the Dutch labour market in matching unemployment and vacancies," Other publications TiSEM 4bbea82e-68fb-45e0-b32a-3, Tilburg University, School of Economics and Management.
    13. Oliver Jean Blanchard & Peter Diamond, 1989. "The Beveridge Curve," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 20(1), pages 1-76.
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    More about this item

    JEL classification:

    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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