A disaggregated analysis of employment growth fluctuations in Canada
This paper studies the sources of fluctuations in Canadian employment growth disaggregated by province and, within each province, by one-digit industry. Using an error components decomposition, industry-specific shocks are found to be relatively more important in explaining fluctuations in employment growth. Aggregate and province-specific shocks also play an important role, with the latter contributing about 30 percent of the explained variance in employment growth. Using a set of additional identifying assumptions, the decomposition technique is then extended to construct time series on the underlying shocks and to examine their properties. Copyright International Atlantic Economic Society 1998
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Volume (Year): 26 (1998)
Issue (Month): 3 (September)
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