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Occupational and Industry Mobility in the United States, 1969-1992

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Listed:
  • Parrado, E.
  • Wolff, E.

Abstract

Using the Panel Study of Income Dynamics, we investigate occupational and industrial mobility of individuals over the 1969-1980 and 1981-1992 periods in the U.S. We find that workers changed both occupation and industry more frequently in the later period. Workers, on average, shifted occupation 1.8 times in the earlier period and 2.1 times in the later, and shifted industry 0.8 and 1.2 times, respectively. We also find that occupational and industry changes are associated with lower earnings, though this effect has lessened over time (from a 13 percent earnings reduction per occupational change for men in 1972-74 to a 9 percent loss in 1990-92). Our results also indicate that older workers are less likely to shift occupation or industry, as are better paid men but not better paid women.

Suggested Citation

  • Parrado, E. & Wolff, E., 1999. "Occupational and Industry Mobility in the United States, 1969-1992," Working Papers 99-20, C.V. Starr Center for Applied Economics, New York University.
  • Handle: RePEc:cvs:starer:99-20
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    File URL: http://econ.as.nyu.edu/docs/IO/9186/RR99-20.PDF
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    References listed on IDEAS

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    1. Orazem, Peter F & Mattila, J Peter, 1986. "Occupational Entry and Uncertainty: Males Leaving High School," The Review of Economics and Statistics, MIT Press, vol. 68(2), pages 265-273, May.
    2. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-990, October.
    3. Krieg, Randall G., 1996. "Occupational change and differing returns to migration by gender," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 25(5), pages 591-599.
    4. Audrey Light & Kathleen McGarry, 1998. "Job Change Patterns And The Wages Of Young Men," The Review of Economics and Statistics, MIT Press, vol. 80(2), pages 276-286, May.
    5. Brown, James N, 1989. "Why Do Wages Increase with Tenure? On-the-Job Training and Life-Cycle Wage Growth Observed within Firms," American Economic Review, American Economic Association, vol. 79(5), pages 971-991, December.
    6. George J. Borjas, 1981. "Job Mobility and Earnings over the Life Cycle," ILR Review, Cornell University, ILR School, vol. 34(3), pages 365-376, April.
    7. Joseph G. Altonji & Robert A. Shakotko, 1987. "Do Wages Rise with Job Seniority?," Review of Economic Studies, Oxford University Press, vol. 54(3), pages 437-459.
    8. Brown, James N & Light, Audrey, 1992. "Interpreting Panel Data on Job Tenure," Journal of Labor Economics, University of Chicago Press, vol. 10(3), pages 219-257, July.
    9. Miller, Robert A, 1984. "Job Matching and Occupational Choice," Journal of Political Economy, University of Chicago Press, vol. 92(6), pages 1086-1120, December.
    10. Garen, John E, 1989. "Job-Match Quality as an Error Component and the Wage-Tenure Profile: A Comparison and Test of Alternative Estimators," Journal of Business & Economic Statistics, American Statistical Association, vol. 7(2), pages 245-252, April.
    11. Becker, Elizabeth & Lindsay, Cotton M, 1994. "Sex Differences in Tenure Profiles: Effects of Shared Firm-Specific Investment," Journal of Labor Economics, University of Chicago Press, vol. 12(1), pages 98-118, January.
    12. Altman, Morris & Lamontacne, Louise, 1996. "Gender pay inequality and occupational change in Canada, 1900-1930," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 25(3), pages 285-309.
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    Cited by:

    1. Monsueto, Sandro Eduardo & Cunha, André Moreira & Da Silva Bichara, Julimar, 2014. "Occupational mobility and income differentials: The experience of Brazil between 2002 and 2010," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), August.

    More about this item

    Keywords

    OCCUPATION; INDUSTRY; MOBILITY; EARNINGS.;

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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