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Do They Come Back Again? Job Search, Labour Market Segmentation and State Dependence as Explanations of Repeat Unemployment


  • Winter-Ebmer, Rudolf
  • Zweimuller, Josef


This study investigates the causes of recurrent unemployment. Using data from the Austrian unemployment register the authors test the explanatory power of three different approaches which appear in the literature: job search theory, labor market segmentation, and state dependence. Whereas job search theory does not seem to be able to explain anything, labor market segmentation does. However, the most powerful determinant of the risk of unemployment repetition is past unemployment history. This micro finding is not inconsistent with theories explaining the persistent high level of unemployment rates.

Suggested Citation

  • Winter-Ebmer, Rudolf & Zweimuller, Josef, 1992. "Do They Come Back Again? Job Search, Labour Market Segmentation and State Dependence as Explanations of Repeat Unemployment," Empirical Economics, Springer, vol. 17(2), pages 273-292.
  • Handle: RePEc:spr:empeco:v:17:y:1992:i:2:p:273-92

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    References listed on IDEAS

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    10. Kashyap, Anil K & Stein, Jeremy C & Wilcox, David W, 1993. "Monetary Policy and Credit Conditions: Evidence from the Composition of External Finance," American Economic Review, American Economic Association, vol. 83(1), pages 78-98, March.
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    Cited by:

    1. José Arranz & Carlos García-Serrano, 2014. "Duration and Recurrence of Unemployment Benefits," Journal of Labor Research, Springer, vol. 35(3), pages 271-295, September.
    2. Zweimuller, Josef & Winter-Ebmer, Rudolf, 1996. "Manpower Training Programmes and Employment Stability," Economica, London School of Economics and Political Science, vol. 63(249), pages 113-130, February.
    3. Niedergesäss, Markus, 2012. "Duration dependence, lagged duration dependence, and occurrence dependence in individual employment histories," University of Tuebingen Working Papers in Economics and Finance 26, University of Tuebingen, Faculty of Economics and Social Sciences.
    4. Santos, Miguel, 2010. "School to Work Transition, Employment Attainment and VET. Theories Guide for Policy Makers," MPRA Paper 24056, University Library of Munich, Germany.
    5. Amynah Gangji & Robert Plasman, 2008. "Microeconomic analysis of unemployment persistence in Belgium," International Journal of Manpower, Emerald Group Publishing, vol. 29(3), pages 280-298, June.
    6. Winter-Ebmer, Rudolf, 2003. "Benefit duration and unemployment entry: A quasi-experiment in Austria," European Economic Review, Elsevier, vol. 47(2), pages 259-273, April.
    7. Feldstein, Martin & Altman, Dan, 2007. "Unemployment Insurance Savings Accounts," Scholarly Articles 2960185, Harvard University Department of Economics.
    8. Miguel Baião Santos, 2010. "Inserção no Mercado de Trabalho e Formação Profissional - Guia Teórico para Decisores," Working Papers wp052010, Socius, Socio-Economics Research Centre at the School of Economics and Management (ISEG) of the Technical University of Lisbon.
    9. Mouhamadou Niang, 2014. "Gender gaps in recurrence and concentration of unemployment: Evidence from youth leaving France’s education system," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-25, December.

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