[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/wrk/wrkesp/22.html
   My bibliography  Save this paper

Unemployment Dynamics in the Nordics : Is there Heterogeneity in the Relative Importance of Ins and Outs?

Author

Listed:
  • Thorleifsson, Oskar

    (University of Warwick)

Abstract
Unemployment by sub-group differs in terms of cyclical fluctuations. I examine whether there is heterogeneity in the relative contributions of the inflow and outflow rate to cyclical unemployment variations in the Nordics. The aggregate results suggest that fluctuations in the job-finding rate are a key driver of cyclical unemployment variations, excluding Norway. Despite notable differences in cyclical unemployment by gender, the contributions of ins and outs are roughly similar. However, evidence from Sweden and Denmark suggests that the separation rate is slightly more important for males compared to females. Substantially lower turnover for older workers makes comparison by age less reliable. Evidence from Sweden suggests notable differences by education level and between native- and foreign-born workers.

Suggested Citation

  • Thorleifsson, Oskar, 2021. "Unemployment Dynamics in the Nordics : Is there Heterogeneity in the Relative Importance of Ins and Outs?," Warwick-Monash Economics Student Papers 22, Warwick Monash Economics Student Papers.
    • Handle: RePEc:wrk:wrkesp:22
    as

    Download full text from publisher

    File URL: https://warwick.ac.uk/fac/soc/economics/research/wmesp/manage/22_-_oskar_thorleifsson.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Stefania Albanesi & Aysegul Sahin, 2018. "The Gender Unemployment Gap," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 30, pages 47-67, October.
    2. Michael R. Darby & John C. Haltiwanger & Mark W. Plant, 1986. "The Ins and Outs of Unemployment: The Ins Win," UCLA Economics Working Papers 411, UCLA Department of Economics.
    3. Elsby, Michael W.L. & Hobijn, Bart & Şahin, Ayşegül, 2015. "On the importance of the participation margin for labor market fluctuations," Journal of Monetary Economics, Elsevier, vol. 72(C), pages 64-82.
    4. Gary Solon & Ryan Michaels & Michael W. L. Elsby, 2009. "The Ins and Outs of Cyclical Unemployment," American Economic Journal: Macroeconomics, American Economic Association, vol. 1(1), pages 84-110, January.
    5. Mortensen, Dale & Pissarides, Christopher, 2011. "Job Creation and Job Destruction in the Theory of Unemployment," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, vol. 1, pages 1-19.
    6. Robert E. Hall, 2006. "Job Loss, Job Finding and Unemployment in the US Economy over the Past Fifty Years," NBER Chapters, in: NBER Macroeconomics Annual 2005, Volume 20, pages 101-166, National Bureau of Economic Research, Inc.
    7. Jennifer C. Smith, 2011. "The Ins and Outs of UK Unemployment," Economic Journal, Royal Economic Society, vol. 121(552), pages 402-444, May.
    8. Barbara Petrongolo & Christopher A. Pissarides, 2008. "The Ins and Outs of European Unemployment," American Economic Review, American Economic Association, vol. 98(2), pages 256-262, May.
    9. James D. Hamilton, 2018. "Why You Should Never Use the Hodrick-Prescott Filter," The Review of Economics and Statistics, MIT Press, vol. 100(5), pages 831-843, December.
    10. Jacob Mincer, 1991. "Education and Unemployment of Women," NBER Working Papers 3837, National Bureau of Economic Research, Inc.
    11. Nils Gottfries, 2018. "The labor market in Sweden since the 1990s," IZA World of Labor, Institute of Labor Economics (IZA), pages 411-411, July.
    12. Øivind A. Nilsen, 2020. "The labor market in Norway, 2000–2018," IZA World of Labor, Institute of Labor Economics (IZA), pages 424-424, June.
    13. Hie Joo Ahn & James D. Hamilton, 2020. "Heterogeneity and Unemployment Dynamics," Journal of Business & Economic Statistics, Taylor & Francis Journals, vol. 38(3), pages 554-569, July.
    14. Jacob Mincer, 1991. "Education and Unemployment," NBER Working Papers 3838, National Bureau of Economic Research, Inc.
    15. Stefania Albanesi & Aysegul Sahin, 2018. "The Gender Unemployment Gap," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 30, pages 47-67, October.
    16. Michael W. L. Elsby & Bart Hobijn & Ayşegül Şahin, 2013. "Unemployment Dynamics in the OECD," The Review of Economics and Statistics, MIT Press, vol. 95(2), pages 530-548, May.
    17. Robert Shimer, 2012. "Reassessing the Ins and Outs of Unemployment," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 15(2), pages 127-148, April.
    18. Paula Garda, 2016. "The Ins and Outs of Employment in 25 OECD Countries," OECD Economics Department Working Papers 1350, OECD Publishing.
    19. Bart Hobijn & Ayşegül Şahin & Joseph Song, 2010. "The unemployment gender gap during the 2007 recession," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 16(Feb).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Razzu, Giovanni & Singleton, Carl, 2016. "Gender and the business cycle: An analysis of labour markets in the US and UK," Journal of Macroeconomics, Elsevier, vol. 47(PB), pages 131-146.
    2. Simmons, Michael, 2023. "Job-to-job transitions, job finding and the ins of unemployment," Labour Economics, Elsevier, vol. 80(C).
    3. Holmberg, Johan, 2021. "Earnings and Employment Dynamics: Capturing Cyclicality using Mixed Frequency Data," Umeå Economic Studies 991, Umeå University, Department of Economics.
    4. Portugal, Pedro & Rua, António, 2018. "Zooming the Ins and Outs of the U.S. Unemployment with a Wavelet Lens," IZA Discussion Papers 11559, Institute of Labor Economics (IZA).
    5. Barnichon, Regis, 2012. "Vacancy posting, job separation and unemployment fluctuations," Journal of Economic Dynamics and Control, Elsevier, vol. 36(3), pages 315-330.
    6. António Rua & Pedro Portugal, 2017. "Zooming the Ins and Outs of the U.S. Unemployment," Working Papers w201703, Banco de Portugal, Economics and Research Department.
    7. Takano, Tetsuaki, 2024. "Worker flows by gender and industry in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 71(C).
    8. Lin, Ching-Yang & Miyamoto, Hiroaki, 2012. "Gross worker flows and unemployment dynamics in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 26(1), pages 44-61.
    9. Silva, José I. & Vázquez-Grenno, Javier, 2013. "The ins and outs of unemployment in a two-tier labor market," Labour Economics, Elsevier, vol. 24(C), pages 161-169.
    10. Davide Fiaschi & Cristina Tealdi, 2021. "A general methodology to measure labour market dynamics," Papers 2104.01097, arXiv.org.
    11. Ajax Moreira & Miguel N. Foguel & Carlos Henrique Corseuil, 2021. "The ins and outs of unemployment over different time horizons," Empirical Economics, Springer, vol. 60(5), pages 2533-2556, May.
    12. Elsby, Michael W.L. & Hobijn, Bart & Şahin, Ayşegül, 2015. "On the importance of the participation margin for labor market fluctuations," Journal of Monetary Economics, Elsevier, vol. 72(C), pages 64-82.
    13. Sengul, Gonul & Tasci, Murat, 2020. "Unemployment flows, participation, and the natural rate of unemployment: Evidence from turkey," Journal of Macroeconomics, Elsevier, vol. 64(C).
    14. Sara Rica & Yolanda F. Rebollo-Sanz, 2017. "Gender Differentials in Unemployment Ins and Outs during the Great Recession in Spain," De Economist, Springer, vol. 165(1), pages 67-99, March.
    15. Michael W. L. Elsby & Bart Hobijn & Aysegul Sahin, 2010. "The Labor Market in the Great Recession," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 41(1 (Spring), pages 1-69.
    16. Gomes, Pedro, 2012. "Labour market flows: Facts from the United Kingdom," Labour Economics, Elsevier, vol. 19(2), pages 165-175.
    17. Silva, José I. & Vázquez-Grenno, Javier, 2013. "The ins and outs of unemployment in a two-tier labor market," Labour Economics, Elsevier, vol. 24(C), pages 161-169.
    18. Richard K. Crump & Stefano Eusepi & Marc Giannoni & Aysegul Sahin, 2019. "A Unified Approach to Measuring u," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 50(1 (Spring), pages 143-238.
    19. Hairault, Jean-Olivier & Zhutova, Anastasia, 2018. "The cyclicality of labor-market flows: A multiple-shock approach," European Economic Review, Elsevier, vol. 103(C), pages 150-172.
    20. Domenico Ferraro, 2018. "The Asymmetric Cyclical Behavior of the U.S. Labor Market," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 30, pages 145-162, October.

    More about this item

    Keywords

    Unemployment dynamics ; job-finding rate ; job-separation rate ; worker heterogeneity JEL Classification: E24 ; E32 ; J63 ; J64;
    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
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:wrk:wrkesp:22. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: Margaret Nash (email available below). General contact details of provider: https://edirc.repec.org/data/dewaruk.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.