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Alternative Measures of the Average Duration of Unemployment

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  • Heisz, Andrew
  • Corak, Miles

Abstract

This paper examines the robustness of a measure of the average complete duration of unemployment in Canada to a host of assumptions used in its derivation. In contrast to the average incomplete duration of unemployment, which is a lagging cyclical indicator, this statistic is a coincident indicator of the business cycle. The impact of using a steady state as opposed to a non steady state assumption, as well as the impact of various corrections for response bias are explored. It is concluded that a non steady state estimator would be a valuable compliment to the statistics on unemployment duration that are currently released by many statistical agencies, and particularly Statistics Canada.

Suggested Citation

  • Heisz, Andrew & Corak, Miles, 1995. "Alternative Measures of the Average Duration of Unemployment," Analytical Studies Branch Research Paper Series 1995083e, Statistics Canada, Analytical Studies Branch.
  • Handle: RePEc:stc:stcp3e:1995083e
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    File URL: https://www150.statcan.gc.ca/n1/en/catalogue/11F0019M1995083
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    References listed on IDEAS

    as
    1. Baker, G M & Trivedi, P K, 1985. "Estimation of Unemployment Duration from Grouped Data: A Comparative Study," Journal of Labor Economics, University of Chicago Press, vol. 3(2), pages 153-174, April.
    2. Baker, Michael, 1992. "Unemployment Duration: Compositional Effects and Cyclical Variability," American Economic Review, American Economic Association, vol. 82(1), pages 313-321, March.
    3. Stephen W. Salant, 1977. "Search Theory and Duration Data: A Theory of Sorts," The Quarterly Journal of Economics, Oxford University Press, vol. 91(1), pages 39-57.
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    Cited by:

    1. Robert G. Valletta, 1998. "Changes in the structure and duration of U.S. unemployment, 1967-1998," Economic Review, Federal Reserve Bank of San Francisco, pages 29-40.
    2. Furmanov, Kirill, 2009. "On Measurement of the Average Unemployment Duration using Russian Longitudinal Monitoring Survey data," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 14(2), pages 74-99.
    3. Heisz, Andrew, 1996. "Changes in Job Tenure and Job Stability in Canada," Analytical Studies Branch Research Paper Series 1996095e, Statistics Canada, Analytical Studies Branch.
    4. Heisz, Andrew & Corak, Miles, 1995. "The Duration of Unemployment: A User Guide," Analytical Studies Branch Research Paper Series 1995084e, Statistics Canada, Analytical Studies Branch.
    5. Martin Riese, 2000. "Weakening the SALANT-condition for the comparison of mean durations," Economics working papers 2000-28, Department of Economics, Johannes Kepler University Linz, Austria.
    6. Campolieti, Michele, 2009. "An Analysis of Unemployment Incidence and Duration: Some New Evidence from Canada," CLSSRN working papers clsrn_admin-2009-14, Vancouver School of Economics, revised 02 Feb 2009.
    7. Garnett Picot & Andrew Heisz, 2000. "The Performance of the 1990s Canadian Labour Market," Canadian Public Policy, University of Toronto Press, vol. 26(s1), pages 7-25, July.
    8. Carlos Alberto Foronda Rojas & Andrea Alcaráz, 2015. "Estimation and characteristics of unemployment duration in Bolivia," Investigación & Desarrollo 0215, Universidad Privada Boliviana, revised Jun 2015.
    9. Zetterberg, Johnny, 1999. "Arbetslöshetstider i Sverige - utvecklingen 1976-1997," Working Paper Series 151, Trade Union Institute for Economic Research.

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