Gross Job Flows over the Past Two Business Cycles: Not all 'Recoveries' are Created Equal
I compare the behavior of job creation and job destruction over the past two economic downturns. Both periods have brief but sharp rises in job destruction followed by flat net job growth. The dynamics underlying these slow recoveries differ drastically. In 1991-92, job destruction is slow to decline. In 2001, job creation falls dramatically and remains persistently low through 2003. I find this trend qualitatively similar in both manufacturing and service industries. I also find that neither a structural shift of jobs across industries nor increased trade liberalization is a consistent explanation for the recent lack of growth. Instead, the evidence suggests that a large drop in business investment may explain the decline in job creation.
|Date of creation:||Jun 2004|
|Date of revision:|
|Contact details of provider:|| Postal: 2 Massachusetts Avenue, N.E. Room 2860, Washington, D. C. 20212|
Phone: (202) 606-5900
Fax: (202) 606-7890
Web page: http://www.bls.gov
More information through EDIRC
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.:
- Christopher L. Foote, 1998.
"Trend Employment Growth and the Bunching of Job Creation and Destruction,"
Harvard Institute of Economic Research Working Papers
1818, Harvard - Institute of Economic Research.
- Christopher L. Foote, 1998. "Trend Employment Growth and the Bunching of Job Creation and Destruction," The Quarterly Journal of Economics, Oxford University Press, vol. 113(3), pages 809-834.
- Burgess, Simon & Lane, Julia & Stevens, David, 2000.
"Job Flows, Worker Flows, and Churning,"
Journal of Labor Economics,
University of Chicago Press, vol. 18(3), pages 473-502, July.
- Michael W. Klein & Scott Schuh & Robert K. Triest, 2000.
"Job Creation, Job Destruction, and the Real Exchange Rate,"
NBER Working Papers
7466, National Bureau of Economic Research, Inc.
- Klein, Michael W. & Schuh, Scott & Triest, Robert K., 2003. "Job creation, job destruction, and the real exchange rate," Journal of International Economics, Elsevier, vol. 59(2), pages 239-265, March.
- Michael W. Klein & Scott Schuh & Robert K. Triest, 1999. "Job creation, job destruction, and the real exchange rate," Working Papers 99-11, Federal Reserve Bank of Boston.
- Erica L. Groshen & Simon M. Potter, 2003. "Has structural change contributed to a jobless recovery?," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 9(Aug).
- Steven J. Davis & John C. Haltiwanger & Scott Schuh, 1998. "Job Creation and Destruction," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262540932, June.
When requesting a correction, please mention this item's handle: RePEc:bls:wpaper:ec040020. 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: (Gregory Kurtzon)
If references are entirely missing, you can add them using this form.