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Combining Micro and Macro Unemployment Duration Data

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  • van den Berg, Gerard J.

    (University of Groningen)

  • van der Klaauw, Bas

    (Vrije Universiteit Amsterdam)

Abstract

We combine micro and macro unemployment duration data to study the effects of the business cycle on the outflow from unemployment. We allow the cycle to affect individual exit probabilities of unemployed workers as well as the composition of the total inflow into unemployment. We estimate the model using (micro) survey data and (macro) administrative data from France. The distribution of the inflow composition is estimated along with the other parameters. The estimation method deals with differences between the micro and macro unemployment definitions. The results also show to what extent the unemployment duration distributions corresponding to the two definitions can be described by the same model

Suggested Citation

  • van den Berg, Gerard J. & van der Klaauw, Bas, 2000. "Combining Micro and Macro Unemployment Duration Data," IZA Discussion Papers 109, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp109
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    More about this item

    Keywords

    Unemployment composition; heterogeneity; duration dependence; business cycle; seasons; unemployment definition;
    All these keywords.

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation

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