IDEAS home Printed from https://ideas.repec.org/p/iza/izadps/dp27.html
   My bibliography  Save this paper

Transition from School to Work: Search Time and Job Duration

Author

Listed:
  • Bratberg, Espen

    () (University of Bergen)

  • Nilsen, Øivind Anti

    () (Norwegian School of Economics)

Abstract

We consider the early labour market experience of young persons. Using a large data sample of Norwegian individuals finishing education in 1989-91, we analyze the transition from school to work and the duration of the first job. We allow the search duration, the accepted wage, and the job duration to be connected in a system of simultaneous equations which is estimated by maximum likelihood. The empirical evidence suggests that individuals with higher levels of schooling get jobs more quickly, and also have longer durations of their first jobs. Apprentices have shorter search periods and stay in their jobs longer than other individuals at the same educational level. Females appear to have lower reservation wages when entering the labour market (shorter search time and lower wages). They also stay in the first job longer than males do. The search duration and the accepted wage affect job duration positively, but the estimated covariance terms suggest unobserved factors working in the opposite direction.

Suggested Citation

  • Bratberg, Espen & Nilsen, Øivind Anti, 1998. "Transition from School to Work: Search Time and Job Duration," IZA Discussion Papers 27, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp27
    as

    Download full text from publisher

    File URL: http://ftp.iza.org/dp27.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Zvi Eckstein & Kenneth I. Wolpin, 1995. "Duration to First Job and the Return to Schooling: Estimates from a Search-Matching Model," Review of Economic Studies, Oxford University Press, vol. 62(2), pages 263-286.
    2. Lee, Byung-Joo, 1992. "A nested Tobit analysis for a sequentially censored regression model," Economics Letters, Elsevier, vol. 38(3), pages 269-273, March.
    3. Meyer, Bruce D, 1990. "Unemployment Insurance and Unemployment Spells," Econometrica, Econometric Society, vol. 58(4), pages 757-782, July.
    4. Lynch, Lisa M, 1989. "The Youth Labor Market in the Eighties: Determinants of Re-employment Probabilities for Young Men and Women," The Review of Economics and Statistics, MIT Press, vol. 71(1), pages 37-45, February.
    5. Devine, Theresa J. & Kiefer, Nicolas M., 1991. "Empirical Labor Economics: The Search Approach," OUP Catalogue, Oxford University Press, number 9780195059366.
    6. Parsons, Donald O, 1991. "The Job Search Behavior of Employed Youth," The Review of Economics and Statistics, MIT Press, vol. 73(4), pages 597-604, November.
    7. Lawrence M. Kahn & Stuart A. Low, 1984. "An Empirical Model of Employed Search, Unemployed Search, and Nonsearch," Journal of Human Resources, University of Wisconsin Press, vol. 19(1), pages 104-117.
    8. Kiefer,Nicholas M. & Neumann,George R., 2006. "Search Models and Applied Labor Economics," Cambridge Books, Cambridge University Press, number 9780521024648, April.
    9. Burdett, Kenneth, 1978. "The testing and sorting functions of higher education," Journal of Public Economics, Elsevier, vol. 10(1), pages 117-122, August.
    10. Peter Jensen & Niels C. Westergård-Nielsen, 1987. "A Search Model Applied to the Transition from Education to Work," Review of Economic Studies, Oxford University Press, vol. 54(3), pages 461-472.
    11. Dolton, Peter J & Makepeace, Gerald H, 1987. "Marital Status, Child Rearing and Earnings Differentials in the Graduate Labour Market," Economic Journal, Royal Economic Society, vol. 97(388), pages 897-922, December.
    12. Belzil, Christian, 1995. "Unemployment Insurance and Unemployment over Time: An Analysis with Event History Data," The Review of Economics and Statistics, MIT Press, vol. 77(1), pages 113-126, February.
    13. Han, Aaron & Hausman, Jerry A, 1990. "Flexible Parametric Estimation of Duration and Competing Risk Models," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 5(1), pages 1-28, January-M.
    14. Omori, Yoshiaki, 1997. "Stigma Effects of Nonemployment," Economic Inquiry, Western Economic Association International, vol. 35(2), pages 394-416, April.
    15. Flinn, C. & Heckman, J., 1982. "New methods for analyzing structural models of labor force dynamics," Journal of Econometrics, Elsevier, vol. 18(1), pages 115-168, January.
    16. Atkinson, Anthony B & Micklewright, John, 1991. "Unemployment Compensation and Labor Market Transitions: A Critical Review," Journal of Economic Literature, American Economic Association, vol. 29(4), pages 1679-1727, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kathrin Bertschy & M. Alejandra Cattaneo & Stefan C. Wolter, 2009. "PISA and the Transition into the Labour Market," LABOUR, CEIS, vol. 23(s1), pages 111-137, March.
    2. Kathrin Bertschy & Alejandra Cattaneo & Stefan C. Wolter, 2008. "What happened to the PISA 2000 participants five years later?," Economics of Education Working Paper Series 0013, University of Zurich, Department of Business Administration (IBW).
    3. Kong Jun & Jiang Fan, 2011. "Factors Affecting Job Opportunities for University Graduates in China---the Evidence from University Graduates in Beijing," Research in World Economy, Research in World Economy, Sciedu Press, vol. 2(1), pages 24-37, April.
    4. repec:ecr:col070:42669 is not listed on IDEAS
    5. LIU Yang, 2016. "Employment and Starting Wages of New Graduates in China: Using the latest available survey data," Discussion papers 16021, Research Institute of Economy, Trade and Industry (RIETI).
    6. Cooke, L. P., 2003. "A comparison of initial and early life course earnings of the German secondary education and training system," Economics of Education Review, Elsevier, vol. 22(1), pages 79-88, February.

    More about this item

    Keywords

    school-to-work transition; job duration; search time; wages;

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp27. 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: (Mark Fallak). General contact details of provider: http://www.iza.org .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.