IDEAS home Printed from https://ideas.repec.org/p/nzb/nzbans/2018-09.html
   My bibliography  Save this paper

Job-to-job flows and inflation: Evidence from administrative data in New Zealand

Author

Abstract

Job-to-job flows, characterised as the number of workers moving from one job to another without a spell of unemployment, have attracted renewed attention in the academic, and policy literature in recent years. In this note, I use the administrative Linked Employee and Employer Data (LEED) to create novel measure of job-to-job flows for New Zealand, and then examine their forecasting performance for non-tradable inflation and wage growth in New Zealand. Job-to-job flows outperform other measures at every forecast horizon. In this note, I also argue that job-to- job flows are an indirect measure of ‘marginal cost’, and deserve closer attention in understanding inflation dynamics. Job-to-job flows have been increasing very slowly since the recession of 2008-2009, and this is one contributing explanation for the low wage growth and inflation outcomes observed in recent years.

Suggested Citation

  • Özer Karagedikli, 2018. "Job-to-job flows and inflation: Evidence from administrative data in New Zealand," Reserve Bank of New Zealand Analytical Notes series AN2018/09, Reserve Bank of New Zealand.
    • Handle: RePEc:nzb:nzbans:2018/09
    as

    Download full text from publisher

    File URL: https://www.rbnz.govt.nz/-/media/ReserveBank/Files/Publications/Analytical%20notes/2018/an2018-09.pdf
    Download Restriction: no
    ---><---

    Citations

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


    Cited by:

    1. Christopher Ball & Nicolas Groshenny & Oezer Karagedikli & Murat Oezbilgin & Finn Robinson, 2020. "Low wage growth and job-to-job transitions: Evidence from administrative data in New Zealand," MAGKS Papers on Economics 202021, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    2. Adam Richardson, 2019. "New Zealand Wage Inflation Post-crisis," RBA Annual Conference Papers acp2019-02, Reserve Bank of Australia, revised Jul 2019.
    3. Christopher Ball & Nicolas Groshenny & Ozer Karagedikli & Murat Özbilgin & Finn Robinson, 2024. "How Wages Respond to the Job-Finding and Job-to-Job Transition Rates: Evidence from New Zealand Administrative Data," International Journal of Central Banking, International Journal of Central Banking, vol. 20(1), pages 159-180, February.
    4. Jamie Culling & Finn Robinson, 2020. "Employment and hours worked adjustment in New Zealand's labour market," Reserve Bank of New Zealand Analytical Notes series AN2020/03, Reserve Bank of New Zealand.
    5. Andrew Coleman & Guanyu Zheng, 2020. "Job-to-job transitions and the regional job ladder," Working Papers 2020/01, New Zealand Productivity Commission.
    6. Finn Robinson & Jamie Culling & Gael Price, 2019. "Evaluating indicators of labour market capacity in New Zealand," Reserve Bank of New Zealand Analytical Notes series AN2019/09, Reserve Bank of New Zealand.

    More about this item

    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:nzb:nzbans:2018/09. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Reserve Bank of New Zealand Knowledge Centre (email available below). General contact details of provider: https://edirc.repec.org/data/rbngvnz.html .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.