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Two Sides to Every Story : Measuring the Polarisation of Work

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Abstract

Individual and household based aggregate measures of joblessness can, and do, offer conflicting signals about labour market performance if work is unequally distributed. This paper introduces a simple set of indices that can be used to measure the extent of divergence between individual and household-based jobless measures. The indices, built around a comparison of the actual household jobless rate with that which would occur if work were randomly distributed over the working age population, can be decomposed to try to identify the likely source of any disparity between non-employment rates calculated at the 2 levels of aggregation. Applying these measures to data for Britain, we show that there has been a growing disparity – polarisation - between the individual and household based jobless measures that are largely unrelated to changes in household structure or the principal characteristics associated with individual joblessness.

Suggested Citation

  • Paul Gregg and Jonathan Wadsworth, 2004. "Two Sides to Every Story : Measuring the Polarisation of Work," Royal Holloway, University of London: Discussion Papers in Economics 04/03, Department of Economics, Royal Holloway University of London, revised Apr 2004.
    • Handle: RePEc:hol:holodi:0403
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    1. is not listed on IDEAS
    2. Peter Dawkins & Paul Gregg & Rosanna Scutella, 2005. "Employment Polarisation in Australia," The Economic Record, The Economic Society of Australia, vol. 81(255), pages 336-350, December.
    3. Elena Stancanelli, 2006. "Les couples sur le marché de l'emploi," PSE-Ecole d'économie de Paris (Postprint) hal-03389366, HAL.
    4. Elena Stancanelli, 2006. "Les couples sur le marché de l'emploi," Sciences Po Economics Publications (main) hal-03389366, HAL.
    5. Christian Dustmann & Francesca Fabbri, 2005. "Gender and Ethnicity--Married Immigrants in Britain," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 21(3), pages 462-484, Autumn.
    6. Neil Lee & Paul Sissons, 2016. "Inclusive growth? The relationship between economic growth and poverty in British cities," Environment and Planning A, , vol. 48(11), pages 2317-2339, November.
    7. repec:spo:wpmain:info:hdl:2441/9719 is not listed on IDEAS
    8. Nolen, Patrick, 2006. "Unemployment and Family-Values: A Household Distribution Sensitive Measure of Unemployment and Some Applications," Working Papers 05-03rr, Cornell University, Center for Analytic Economics.
    9. MONCEL Nathalie, 2004. "Differentiations in structures of employees' resources: a comparison of eight European countries," IRISS Working Paper Series 2004-02, IRISS at CEPS/INSTEAD.

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    JEL classification:

    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers

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