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The Life-cycle Profile of Worker Flows in Europe: an Empirical Investigation

Author

Listed:
  • Etienne Lalé

    (Université du Québec à Montréal, CIRANO and IZA)

  • Linas Tarasonis

    (Vilnius University & Bank of Lithuania)

Abstract

In this paper, we first provide a comprehensive account of the relationship between cross-country differences in aggregate employment and disaggregated differences in worker flows along the life cycle. To this end, we use survey micro-data for 31 European countries, and estimate the life-cycle profiles of transition probabilities across employment, unemployment and non-participation for each country. We develop a decomposition measuring the contribution of these transition probabilities to aggregate employment differences. We find substantial cross-country and cross-gender heterogeneity with respect to the role of worker flows between each labor market state.

Suggested Citation

  • Etienne Lalé & Linas Tarasonis, 2019. "The Life-cycle Profile of Worker Flows in Europe: an Empirical Investigation," Bank of Lithuania Discussion Paper Series 16, Bank of Lithuania.
  • Handle: RePEc:lie:dpaper:16
    as

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    References listed on IDEAS

    as
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    7. Melanie Ward-Warmedinger & Corrado Macchiarelli, 2014. "Transitions in labour market status in EU labour markets," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-25, December.
    8. Anthony Shorrocks, 2013. "Decomposition procedures for distributional analysis: a unified framework based on the Shapley value," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 11(1), pages 99-126, March.
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    More about this item

    Keywords

    Employment; Unemployment; Labor Force Participation; Life cycle; Worker Flows; Labor Market Institutions;
    All these keywords.

    JEL classification:

    • E02 - Macroeconomics and Monetary Economics - - General - - - Institutions and the Macroeconomy
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • J82 - Labor and Demographic Economics - - Labor Standards - - - Labor Force Composition

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