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Search and Multiple Jobholding

Author

Listed:
  • Etienne Lale

    (University of Quebec in Montreal, CIRANO and IZA)

Abstract
This paper develops an equilibrium model of the labor market with hours worked, off-and on-the-job search, and single as well as multiple jobholders. The model quantitatively accounts for the incidence of and worker flows in and out of multiple jobholding. Central to the model's mechanism is that holding a second job ties the worker to her primary employer, at the benefits of having a stronger outside option to bargain with the outside employer. The model is also informative of how multiple jobholding shapes the outcomes that are typically the focus of search models. Multiple jobholding has opposing effects on job-to-job transitions that mostly offset each other. At the same time, since the option of having second jobs makes the main job survive longer, it reduces job separations and increases the employment rate. These findings have material implications for the calibration of standard models which ignore multiple jobholding.

Suggested Citation

  • Etienne Lale, 2022. "Search and Multiple Jobholding," Working Papers 22-07, Chair in macroeconomics and forecasting, University of Quebec in Montreal's School of Management.
    • Handle: RePEc:bbh:wpaper:22-07
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    Cited by:

    1. Auray, Stéphane & Fuller, David L. & Vandenbroucke, Guillaume, 2021. "Comparative advantage and moonlighting," European Economic Review, Elsevier, vol. 139(C).
    2. NI Bin & KATO Hayato & LIU Yang, 2020. "Does It Matter Where You Invest? The Impact of FDI on Domestic Job Creation and Destruction," Discussion papers 20008, Research Institute of Economy, Trade and Industry (RIETI).
    3. Olena Kostyshyna & Etienne Lalé, 2022. "On the evolution of multiple jobholding in Canada," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 55(2), pages 1095-1134, May.
    4. M. Antonella Mancino, 2022. "A Search Model Of Early Employment Careers And Youth Crime," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 63(1), pages 329-390, February.

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    More about this item

    Keywords

    Multiple jobholding; Employment; Hours worked; Job search;
    All these keywords.

    JEL classification:

    • 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
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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