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Temporary help services and the volatility of industry output

Author

Listed:
  • Yukako Ono
  • Alexei Zelenev

Abstract

To gain a better understanding of how fluctuations in output influence firms' decision to hire temporary workers, the authors examine the relationship between output volatility and the use of temporary labor. They find that, all things being equal, temporary employment is higher in states with more volatile industries and lower in states with a relatively high degree of co-movement of industry output fluctuations.

Suggested Citation

  • Yukako Ono & Alexei Zelenev, 2003. "Temporary help services and the volatility of industry output," Economic Perspectives, Federal Reserve Bank of Chicago, issue Q II, pages 15-28.
  • Handle: RePEc:fip:fedhep:y:2003:i:qii:p:15-28:n:v.27no.2
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    References listed on IDEAS

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    1. Diamond, Charles A & Simon, Curtis J, 1990. "Industrial Specialization and the Returns to Labor," Journal of Labor Economics, University of Chicago Press, vol. 8(2), pages 175-201, April.
    2. Susan N. Houseman, 2001. "Why Employers Use Flexible Staffing Arrangements: Evidence from an Establishment Survey," ILR Review, Cornell University, ILR School, vol. 55(1), pages 149-170, October.
    3. David H. Autor, 2000. "Outsourcing at Will: Unjust Dismissal Doctrine and the Growth of Temporary Help Employment," NBER Working Papers 7557, National Bureau of Economic Research, Inc.
    4. Abraham, Katharine G & Taylor, Susan K, 1996. "Firms' Use of Outside Contractors: Theory and Evidence," Journal of Labor Economics, University of Chicago Press, vol. 14(3), pages 394-424, July.
    5. Marcello Estevao & Saul Lach, 1999. "Measuring temporary labor outsourcing in U.S. manufacturing," Finance and Economics Discussion Series 1999-57, Board of Governors of the Federal Reserve System (U.S.).
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    Cited by:

    1. Andrew Goodman-Bacon & Yukako Ono, 2007. "Who are temporary nurses?," Economic Perspectives, Federal Reserve Bank of Chicago, issue Q I, pages 2-13.

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