Job Displacement and Job Mobility: The Role of Joblessness

Bruce Fallick, John Haltiwanger and Erika McEntarfer

No 19-27R, Working Papers from Federal Reserve Bank of Cleveland

Abstract: Who is harmed by and who benefits from worker reallocation? We investigate the earnings consequences of changing jobs and find a wide dispersion in outcomes. This dispersion is driven not by whether the worker was displaced, but by the duration of joblessness between job spells. Job movers who experience joblessness suffer a persistent reduction in earnings and tend to move to lower-paying firms, suggesting that job ladder models offer a useful lens through which to understand the negative consequences of job separations.

Keywords: displaced workers; job mobility; job ladders (search for similar items in EconPapers)
JEL-codes: J63 J64 (search for similar items in EconPapers)
Pages: 49
Date: 2019-12-13, Revised 2021-08-31
New Economics Papers: this item is included in nep-lab, nep-ore and nep-ure
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Citations: View citations in EconPapers (1)

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Working Paper: Job Displacement and Job Mobility: The Role of Joblessness (2021)
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DOI: 10.26509/frbc-wp-201927r

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