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Demazière, Didier (2024): In search of a job—But which one? How unemployed people revise their occupational expectations. In: Social Policy and Administration online erschienen am 06.02.2024. DOI:10.1111/spol.13011

Abstract

"Conducting a job search implies the identification of a target—an intended job. However, this assumption has been little studied, and just two main conclusions have been drawn, namely: jobseekers have an incentive to adjust their targets to the jobs available, and returning to work tends to lead to occupational downgrading. This article explores how job search experiences shape and alter targets. Biographical interviews were conducted with 57 unemployed people registered with the French public employment service. Ultimately, all of them revise their occupational expectations as, faced with the uncertainties inherent to the job search and experiencing difficulties in reaching their priority targets, they try to adapt and define more realistic goals. Four contrasting processes of expectation revision are used to track these tensions between desirability and realism. In conclusion, we stress the following facts: that unemployed people are flexible and develop rationales in order to adapt to the labour market; that their experience of failure, alongside advice and beliefs arising in the course of the job search feed directly into these revisions, and that these revisions both vary in magnitude and reflect inequalities in the defining process of target jobs." (Author's abstract, IAB-Doku, Published by arrangement with John Wiley & Sons) ((en))

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Denderski, Piotr & Florian Sniekers (2024): Declining Search Frictions, Unemployment and Self-Employment. In: The Economic Journal, Jg. 134, H. 659, S. 1100-1145. DOI:10.1093/ej/uead093

Abstract

"In most OECD countries, unemployment rates show no trend, which is puzzling if advancements in information and communication technologies decrease labor-market frictions. We show, both analytically and quantitatively, that accounting for the secular decline in self-employment rates solves the puzzle. While declining labor-market frictions can theoretically explain these trends, we provide contradictory causal evidence that the roll-out of broadband internet has increased self-employment and decreased unemployment rates. We reconcile these observations with a new model featuring frictions in both labour and goods markets. We explain falling self-employment and non-trending unemployment quantitatively by labor-market frictions declining relatively more than goods-market frictions." (Author's abstract, IAB-Doku) ((en))

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Neffke, Frank, Ljubica Nedelkoska & Simon Wiederhold (2024): Skill mismatch and the costs of job displacement. In: Research Policy, Jg. 53. DOI:10.1016/j.respol.2023.104933

Abstract

"Establishment closures have lasting negative consequences for the workers displaced from their jobs. We study how these consequences vary with the amount of skill mismatch that workers experience after job displacement. Developing new measures of occupational skill redundancy and skill shortage, we analyze the work histories of individuals in Germany between 1975 and 2010. We estimate difference-in-differences models, using a sample of displaced workers who are matched to statistically similar non-displaced workers. We find that displacements increase the probability of occupation change eleven-fold. Moreover, the magnitude of post-displacement earnings losses strongly depends on the type of skill mismatch that workers experience in such job switches. Whereas skill shortages are associated with relatively quick returns to the earnings trajectories that displaced workers would have experienced absent displacement, skill redundancy sets displaced workers on paths with permanently lower earnings. We show that these differences can be attributed to differences in mismatch after displacement, and not to intrinsic differences between workers making different post-displacement career choices." (Author's abstract, IAB-Doku, © Elsevier) ((en))

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Bauer, Anja, Kristin Keveloh, Mariano Mamertino & Enzo Weber (2023): Competing for Jobs: How COVID-19 Changes Search Behavior in the Labor Market. In: German Economic Review, Jg. 24, H. 4, S. 323-347., 2023-11-13. DOI:10.1515/ger-2021-0010

Abstract

"We provide insights on how job search changed in the Covid-19-crisis by analyzing data from the LinkedIn professional network for Germany. We find that competition among workers for jobs strongly increased – which is due to additional job seekers rather than higher search intensity. Furthermore, the LinkedIn data show that people from industries particularly affected by the crisis applied much more frequently and there had been a substantial shift in the target industries for applications. Finally, we find that at the onset of the Covid-19-crises applications were made significantly more often below and significantly less often above a person’s level of seniority." (Author's abstract, IAB-Doku, © De Gruyter) ((en))

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Carillo-Tudela, Carlos, Leo Kaas & Benjamin Lochner (2023): Matching Through Search Channels. (IAB-Discussion Paper 10/2023), Nürnberg, 85 S. DOI:10.48720/IAB.DP.2310

Abstract

"Firmen und Arbeitnehmer/-innen finden überwiegend über Stellenanzeigen, persönliche Kontaktnetzwerke oder die Bundesagentur für Arbeit zueinander. All diese Suchkanäle tragen dazu bei, Friktionen am Arbeitsmarkt zu verringern. In diesem Papier untersuchen wir, inwieweit diese Suchkanäle unterschiedliche Auswirkungen auf den Arbeitsmarkt haben. Anhand einer neuen Datenverknüpfung aus administrativer Daten und Umfragedaten zeigen wir: (i) Niedriglohnfirmen und Niedriglohnbeziehende finden vermehrt über Netzwerke oder die Bundesagentur für Arbeit zueinander, währendessen Hochlohnfirmen und Hochlohnbeziehende häufiger über Stellenanzeigen zusammenkommen. (ii) Dabei nutzen Firmen Stellenanzeigen vor allem bei der Abwerbung und Gewinnung von Hochlohnbeziehenden. Im Vergleich zu anderen Suchkanälen, werden Stellenanzeigen auch vermehrt von Beschäftigten beim Aufstieg auf der Karriereleiter genutzt. Um die Auswirkungen dieser Beobachtungen auf die aggregierte Beschäftigung, die Löhne und die Arbeitsmarktsortierung zu bewerten, schätzen wir strukturell ein Gleichgewichtsmodell, das sich durch Karriereleitern, zweiseitige Heterogenität, mehrere Suchkanäle und endogene Einstellungsintensität auszeichnet. Die Schätzung zeigt, dass Netzwerke der kosteneffizienteste Kanal sind, der es Firmen ermöglicht, schnell einzustellen, aber auch Arbeitskräfte mit geringeren durchschnittlichen Fähigkeiten anzuziehen. Stellenanzeigen sind der kostspieligste Kanal, erleichtern die Einstellung von Arbeitnehmern/-innen mit höheren Fähigkeiten und sind für die Sortierung zwischen Beschäftigten und Firmen am wichtigsten. In kontrafaktischen Berechnungen zeigt sich, dass obwohl die Bundesagentur für Arbeit die geringste Einstellungswahrscheinlichkeit bietet, ihre hypothetische Abschaffung beträchtliche Folgen hätte. Die Gesamtbeschäftigung würde um mindestens 1,4 Prozent sinken und die Lohnungleichheit steigen." (Autorenreferat, IAB-Doku)

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Lochner, Benjamin & Christian Merkl (2023): Wie Männer und Frauen sich bei der Jobsuche unterscheiden: Bewerbungsverhalten kann die Hälfte der bereinigten Verdienstlücke erklären. (IAB-Kurzbericht 8/2023), Nürnberg, 8 S. DOI:10.48720/IAB.KB.2308

Abstract

"Frauen verdienen im Durchschnitt weniger als Männer. Dies wird in der Wissenschaft intensiv analysiert und in der Politik oft debattiert. Dabei findet das geschlechtsspezifische Bewerbungsverhalten bisher kaum Beachtung. Die Analyse detaillierter Betriebsdaten zeigt aber, dass sich Männer und Frauen selbst innerhalb eng definierter Berufe auf Stellen mit unterschiedlichen Eigenschaften bewerben und dass dies einen erheblichen Teil der Verdienstlücke erklärt." (Autorenreferat, IAB-Doku)

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Maibom, Jonas, Nikolaj Harmon, Anita Glenny & Jonas Fluchtmann (2023): Unemployed Job Search across People and over Time: Evidence from Applied-for Jobs. In: Journal of labor economics online erschienen am 06.04.2023, S. 1-40. DOI:10.1086/725165

Abstract

"Using data on applied-for jobs for the universe of Danish UI recipients, we examine variation in job search behavior both across individuals and over time during unemployment spells. We find large differences in the level of applied-for wages across individuals but over time all individuals adjust wages downward in the same way. The decline in applied-for wages over time is descriptively small but economically important in standard models of job search. We find similar results when examining variation in the non-wage characteristics of applied-for jobs and in the search methods used to find them. We discuss implications for theory." (Author's abstract, IAB-Doku) ((en))

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Schmidpeter, Bernhard (2023): Labor Market News and Expectations about Jobs & Earnings. (Working paper / Department of Economics, Johannes Kepler Universität of Linz 2023-14), Linz, 30 S.

Abstract

"Little is known about how workers update expectations about job search and earnings when exposed to labor market news. To identify the impact of news on expectations, I exploit Foxconn's unexpected announcement to build a manufacturing plant in Racine County. Exposure to positive news leads to an increase in expected salary growth at the current firm. Individuals also revise their expectations about outside offers upward, anchoring their beliefs to Foxconn's announced wages. They act on their updated beliefs with a small increase in current consumption. Negative news from a scaled-down plan leads to a revision of expectations back toward baseline." (Author's abstract, IAB-Doku) ((en))

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Vecchi, Michela, Catherine Robinson, Maja Savic & Marina Romiti (2023): Vertical and Horizontal Mismatch in the UK: Are Graduates' Skills a Good Fit for Their Jobs? (NIESR discussion paper 548), London, 39 S.

Abstract

"Understanding the skill mismatch among graduates, its causes and consequences is crucial for an economy as it reveals an inefficient allocation of resources that can lead to a decline in workers' wages and in a country's overall productivity performance. This study contributes to the skill mismatch debate by examining graduates' vertical and horizontal mismatch in the UK. Using the 2017 Annual Population Survey, we introduce a new, objective measure of horizontal mismatch (fit index) and account for skills beyond education. Performance of the fit index is compared with a standard measure of vertical mismatch, that typically refers to graduates employed in non-graduate jobs. We find that approximately 30% of graduates in the UK are employed in non-graduate jobs, while nearly 33% work in fields unrelated to their degree subject. Using information on the skill classification of occupations (SOC2010), we adjust these overall figures controlling for unobservable skills. This allows us to derive six skill groups, each capturing the distance between graduates' skills and those required on the job. At the top of skill distribution, we find graduates who are matched in terms of qualification and skills (44%), followed by those who are only horizontally mismatched, that is those who are employed in an occupation requiring a university degree but whose field of study does not match the requirements of the job (23%). At the bottom of the skill distribution, we find graduates who are overqualified on paper but whose skills are likely to be very close to those required on the job (16%). These graduates are particularly penalized in terms of wages. In fact, our estimates show that they earn approximately 40% less compared to those with a perfect job match. This wage penalty, on the other hand, is substantially lower for graduates who are only horizontally mismatched (approximately 2%). However, although for individuals a pure horizontal mismatch does not impose a strong downward p" (Author's abstract, IAB-Doku) ((en))

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Zuchuat, Jeremy, Rafael Lalive, Aderonke Osikominu, Lorenzo Pesaresi & Josef Zweimüller (2023): Duration Dependence in Finding a Job: Applications, Interviews, and Job Offers. (IZA discussion paper / Forschungsinstitut zur Zukunft der Arbeit 16602), Bonn, 94 S.

Abstract

"The job finding rate declines with the duration of unemployment. While this is a well established fact, the reasons are still disputed. We use monthly search diaries from Swiss public employment offices to shed new light on this issue. Search diaries record all applications sent by job seekers, including the outcome of each application – whether the employer followed up with a job interview and a job offer. Based on more than 600,000 applications sent by 15,000 job seekers, we find that job applications and job interviews decrease, but job offers (after an interview) increase with duration. A model with statistical discrimination by firms and learning from search outcomes by workers replicates these empirical duration patterns closely. The structurally estimated model predicts that 55 percent of the decline in the job finding rate is due to "true" duration dependence, while the remaining 45 percent is due to dynamic selection of the unemployment pool. We also discuss further drivers of the observed duration patterns, such as human capital depreciation, stock-flow matching, depletion of one's personal network, and changes in application targeting or quality." (Author's abstract, IAB-Doku) ((en))

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Coraggio, Luca, Marco Pagano, Annalisa Scognamiglio & Joacim Tåg (2022): JAQ of All Trades: Job Mismatch, Firm Productivity and Managerial Quality. (IFN working paper / Research Institute of Industrial Economic 1427), Stockholm, 37 S.

Abstract

"Does the matching between workers and jobs help explain productivity differentials across firms? To address this question we develop a job-worker allocation quality measure (JAQ) by combining employer-employee administrative data with machine learning techniques. The proposed measure is positively and significantly associated with labor earnings over workers' careers. At firm level, it features a robust positive correlation with firm productivity, and with managerial turnover leading to an improvement in the quality and experience of management. JAQ can be constructed for any employer-employee data including workers' occupations, and used to explore the effect of corporate restructuring on workers' allocation and careers." (Author's abstract, IAB-Doku) ((en))

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DellaVigna, Stefano, Jörg Heining, Johannes F. Schmieder & Simon Trenkle (2022): Evidence on Job Search Models from a Survey of Unemployed Workers in Germany. In: The Quarterly Journal of Economics, Jg. 137, H. 2, S. 1181-1232., 2021-09-11. DOI:10.1093/qje/qjab039

Abstract

"Die Wahrscheinlichkeit eine neue Beschäftigung zu finden nimmt für Bezieher von Leistungen aus der Arbeitslosenversicherung in den ersten Monaten der Arbeitslosigkeit zunächst ab, steigt dann aber zum Ende der Bezugsdauer wieder an, um danach erneut abzuflachen. Zahlreiche theoretische Ansätze wurden bisher vorgeschlagen, um dieses Muster zu erklären, jedoch ist dies kaum möglich sofern dafür nur Daten über die Tatsache der Arbeitsaufnahme an sich herangezogen werden. Um die zugrundeliegenden Mechanismen besser zu verstehen, haben wir mittels SMS-Kurznachrichten eine groß angelegte Befragung von Arbeitslosen durchgeführt. Insgesamt wurden über 6.800 Leistungsbezieher zweimal pro Woche über jeweils vier Monate über den zeitlichen Aufwand bei der Suche nach einem neuen Arbeitsplatz befragt. Aufgrund der resultierenden Panelstruktur war es uns nun möglich Erkenntnisse zu sammeln, wie sich dieser zeitliche Aufwand auf individueller Ebene über die Dauer der Arbeitslosigkeit hinweg entwickelt. Unsere drei Hauptergebnisse lauten: 1) Der Suchaufwand verläuft flach zu Beginn der Arbeitslosigkeit. 2) Weiter steigt der Suchaufwand zum Ende der Bezugsdauer an, nimmt im Anschluss daran jedoch wieder ab. 3) Es gibt keine Anzeichen dafür, dass Leistungsbezieher die Aufnahme einer neuen Beschäftigung bewusst an das Ende der Bezugsdauer verzögern. Insbesondere das zweite und das dritte dieser Ergebnisse lassen sich kaum mit den Standardmodellen zur Arbeitssuche basierend auf unbeobachteter Heterogenität bzw. so genannten Storable Offer Modellen erklären. Dagegen können die genannten Ergebnisse gut mittels eines Suchmodells mit Reference Dependence erklärt werden." (Autorenreferat, IAB-Doku)

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Woodcock, Simon (2022): The Determinants of Displaced Workers' Wages: Sorting, Matching, Selection, and the Hartz Reforms. (Discussion papers / Simon Fraser University, Department of Economics 2022,04), Burnaby, 90 S.

Abstract

"We present a simple new method to decompose the wage effects of displacement into components due to differences in the way that displaced and non-displaced workers are sorted across higher- and lower-paying employers (a sorting effect), differences in the quality of worker-employer matches they enter into (a matching effect), and differences in their unobservable characteristics (a selection effect). In an extended application, we apply our decomposition to understand how the determinants of displaced workers' wages in Germany changed following the 2003-2005 Hartz reforms. We find that the wages of displaced workers fell substantially after the reforms, and that over 80 percent of the decline was because they found re-employment at lower-paying employers. Sorting into worse matches explains a smaller 5-9 percent of the wage decline experienced by men, and 12-23.5 percent of the female wage decline. Collectively, the sorting and matching channels explain almost all of the post-reform decline in displaced workers' wages, and selection played little role." (Author's abstract, IAB-Doku) ((en))

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Balgová, Mária, Simon Trenkle, Christian Zimpelmann & Nico Pestel (2021): Job Search during a Pandemic Recession: Survey Evidence from the Netherlands. (IZA discussion paper 14180), Bonn, 36 S.

Abstract

"This paper studies job search behavior in the midst of a pandemic recession. We use long-running panel data from the Netherlands (LISS) and complement the core survey with our own COVID-specific module, conducted in June 2020, surveying job search effort of employed as well as unemployed respondents. We estimate an empirical model of job search over the business cycle over the period 2008-2019 to explore the gap between predicted and actual job search behavior in 2020. We find that job search during the pandemic recession differs strongly from previous downturns. The unemployed search significantly less than what we would normally observe during a recession of this size, while the employed search mildly more. Expectations about the duration of the pandemic seem to play a key role in explaining job search effort for the unemployed in 2020. Furthermore, employed subjects affected by changes in employment status due to COVID-19 are more likely to search for a job. Conversely, beliefs about infection risk do not seem to be related to job search in a systematic way." (Author's abstract, IAB-Doku) ((en))

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Christoph, Bernhard & Torsten Lietzmann (2021): Will Accepting Less Bring Success? Job Related Concessions and Welfare Recipients in Germany. In: The social policy blog H. 22.06.2021.

Abstract

"It is often argued that in order to find new employment, the unemployed have to compromise and accept jobs that are inferior (e.g. paying less or requiring a lower qualification) than the jobs they held before becoming unemployed. Making such compromise to find new employment is what we call a job related concession. Our results show that while there might be some truth to this Assertion - in particular with regard to accepting lower paying Jobs - being generally flexible with regard to job search has comparably positive effects without requiring the unemployed to make such compromise. Therefore, we argue that enabling the unemployed to find new occupational perspectives - ideally in combination with training and qualification measures for the new occupation - should be at least as promising as requiring them to make job-related concessions." (Text excerpt, IAB-Doku) ((en))

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Gorn, Alexey (2021): The role of headhunters in wage inequality: It's all about matching. In: Review of Economic Dynamics, Jg. 40, S. 309-346. DOI:10.1016/j.red.2020.10.006

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Heller, Sara B. & Judd B. Kessler (2021): The Effects of Letters of Recommendation in the Youth Labor Market. (NBER working paper 29579), Cambridge, Mass, 43 S. DOI:10.3386/w29579

Abstract

"Youth employment has been near historic lows in recent years, and racial gaps persist. This paper tests whether information frictions limit young people's labor market success with a field experiment involving over 43,000 youth in New York City. We build software that allows employers to quickly and easily produce letters of recommendation for randomly selected youth who worked under their supervision during a summer youth employment program. We then send these letters to nearly 9,000 youth over two years. Being sent a letter generates a 3 percentage point (4.5 percent) increase in employment the following year, with both employment and earnings increases persisting over the two-year follow-up period. By posting our own job advertisement, we document that while treatment youth do use the letters in applications, there is no evidence of other supply-side responses (i.e., no increased job search, motivation, or confidence); effects appear to be driven by the demand side. Labor market benefits accrue primarily to racial and ethnic minorities, suggesting frictions may contribute to racial employment gaps. But improved employment may also hamper on-time high school graduation. Additional evidence indicates that letters help improve job match quality. Results suggest that expanding the availability of credible signals about young workers—particularly for those not on the margin of graduating high school—could improve the efficiency of the youth labor market." (Author's abstract, IAB-Doku) ((en))

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Kröll, Claudia, Stephan Nüesch & J. Nils Foege (2021): Flexible work practices and organizational attractiveness in Germany. The mediating role of anticipated organizational support. In: The International Journal of Human Resource Management, Jg. 32, H. 3, S. 543-572. DOI:10.1080/09585192.2018.1479876

Abstract

"This study analyzes how flexible work practices (FWPs) such as flexible work schedules, telecommuting, and sabbaticals affect the organizational attractiveness of companies to job seekers in the German job market. We apply conservation of resource theory to propose that FWPs are positively related to perceived organizational attractiveness. Furthermore, we use organizational support theory to suggest that this link is mediated by job seekers' anticipated organizational support. We test our predictions using two complementary studies among German job seekers: A field study (N = 188) at two job fairs and an online scenario experiment (N = 469). Our findings indicate that flexible work practices, in particular flexible work schedules and sabbaticals, significantly increase organizational attractiveness as perceived by job seekers and that these effects are indeed mediated by anticipated organizational support. Our results further suggest that this link is independent of job seekers' attitudes towards FWPs and that the effect of sabbaticals is stronger than the effect of either flexible work schedules or telecommuting." (Author's abstract, IAB-Doku) ((en))

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Marinescu, Ioana & Daphne Skandalis (2021): Unemployment Insurance and Job Search Behavior. In: The Quarterly Journal of Economics, Jg. 136, H. 2, S. 887-931. DOI:10.1093/qje/qjaa037

Abstract

"How does unemployment insurance (UI) affect unemployed workers’ search behavior? Search models predict that until benefit exhaustion, UI depresses job search effort and increases reservation wages. Over an unemployment spell, search effort should increase up to benefit exhaustion and stay high thereafter. Meanwhile, reservation wages should decrease up to benefit exhaustion and stay low thereafter. To test these predictions, we link administrative registers to data on job search behavior from a major online job search platform in France. We follow over 400,000 workers, as long as they remain unemployed. We analyze the changes in search behavior around benefits exhaustion and take two steps to isolate the individual response to unemployment benefits. First, our longitudinal data allows us to correct for changes in sample composition over the spell. Second, we exploit data on workers eligible for 12–24 months of UI as well as workers ineligible for UI, to control for behavior changes over the unemployment spell that are independent of UI. Our results confirm the predictions of search models. We find that search effort (the number of job applications) increases by at least 50% during the year preceding benefits exhaustion and remains high thereafter. The target monthly wage decreases by at least 2.4% during the year preceding benefits exhaustion and remains low thereafter. In addition, we provide evidence for duration dependence: workers decrease the wage they target by 1.5% over each year of unemployment, irrespective of their UI status." (Author's abstract, IAB-Doku) ((en))

Zitatform

Michau, Jean-Baptiste (2021): On the provision of insurance against search-induced wage fluctuations. In: The Scandinavian journal of economics, Jg. 123, H. 1, S. 382-414. DOI:10.1111/sjoe.12401

Abstract

"Should workers be provided with insurance against search-induced wage fluctuations? To answer this question, I rely on numerical simulations of a model of on-the-job search and precautionary savings. The model is calibrated to low skilled workers in the U.S. The extent of insurance is determined by the degree of progressivity of a non-linear transfer schedule. The fundamental trade-off is that a more generous provision of insurance reduces incentives to search for better paying jobs, which increases the cost of providing insurance. I show that progressivity raises the search intensity of unemployed worker, which reduces the equilibrium rate of unemployment, but lowers the search intensity of employed job seekers, which reduces the output level. I also solve numerically for the optimal non-linear transfer schedule. The optimal policy is to provide little insurance up to a monthly income level of $1350, such as to preserve incentives to move up the wage ladder, and nearly full insurance above $1450. This policy reduces the standard deviation of labor income net of transfers by 34% and generates a consumption-equivalent welfare gain of 0.7%. The absence of private savings does not fundamentally change the shape of the optimal transfer function, but tilts the optimal policy towards more insurance, at the expense of a less efficient allocation of workers across jobs." (Author's abstract, Published by arrangement with John Wiley & Sons) ((en))

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Bauer, Anja, Kristin Keveloh, Mariano Mamertino & Enzo Weber (2020): Competing for jobs: How COVID-19 changes search behaviour in the labour market. (IAB-Discussion Paper 33/2020), Nürnberg, 21 S.

Abstract

"Bislang ist wenig darüber bekannt, wie die Coronakrise die Suchprozesse auf dem Arbeitsmarkt verändert hat. Durch eine Analyse von Daten aus dem beruflichen Netzwerk LinkedIn für Deutschland erhalten wir Erkenntnisse zu einer Veränderung der Konkurrenz am Arbeitsmarkt, einer Umverteilung von Bewerbungen und einer möglichen Verschiebung in Richtung niedrigerer Karrierestufen. Wir stellen fest, dass der Wettbewerb unter den Arbeitnehmern um Arbeitsplätze stark zugenommen hat. Die Daten lassen den Rückschluss zu, dass dies eher auf zusätzliche Arbeitssuchende als auf eine höhere Suchintensität zurückgeht. Darüber hinaus zeigen die LinkedIn-Daten, dass sich Personen aus von der Krise besonders betroffenen Branchen sehr viel häufiger bewerben und dass sich die Zielbranchen für Bewerbungen erheblich verschoben haben. Schließlich stellen wir fest, dass sich Personen während der Krise deutlich häufiger unterhalb und deutlich seltener oberhalb der eigenen Karrierestufe beworben haben." (Autorenreferat, IAB-Doku)

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Braun, Christine, Bryan Engelhardt, Benjamin Griffy & Peter Rupert (2020): Testing the independence of job arrival rates and wage offers. In: Labour Economics, Jg. 63. DOI:10.1016/j.labeco.2020.101804

Abstract

"Is the arrival rate of a job independent of the wage that it pays? We answer this question by testing whether unemployment insurance alters the job finding rate differentially across the wage distribution. To do this, we use a Mixed Proportional Hazard Competing Risk Model in which we classify quantiles of the wage distribution as competing risks faced by searching unemployed workers. Allowing for flexible unobserved heterogeneity across spells, we find that unemployment insurance increases the likelihood that a searcher matches to higher paying jobs relative to low or medium paying jobs, rejecting the notion that wage offers and job arrival rates are independent. We show that dependence between wages and job offer arrival rates explains 9% of the increase in the duration of unemployment associated with unemployment insurance." (Author's abstract, IAB-Doku, © 2020 Elsevier) ((en))

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DellaVigna, Stefano, Jörg Heining, Johannes F. Schmieder & Simon Trenkle (2020): Evidence on job search models from a survey of unemployed workers in Germany. (IAB-Discussion Paper 13/2020), Nürnberg, 60 S.

Abstract

"Die Wahrscheinlichkeit eine neue Beschäftigung zu finden nimmt für Bezieher von Leistungen aus der Arbeitslosenversicherung in den ersten Monaten der Arbeitslosigkeit zunächst ab, steigt dann aber zum Ende der Bezugsdauer wieder an, um danach erneut abzuflachen. Zahlreiche theoretische Ansätze wurden bisher vorgeschlagen, um dieses Muster zu erklären, jedoch ist dies kaum möglich sofern dafür nur Daten über die Tatsache der Arbeitsaufnahme an sich herangezogen werden. Um die zugrundeliegenden Mechanismen besser zu verstehen, haben wir mittels SMS-Kurznachrichten eine groß angelegte Befragung von Arbeitslosen durchgeführt. Insgesamt wurden über 6.800 Leistungsbezieher zweimal pro Woche über jeweils vier Monate über den zeitlichen Aufwand bei der Suche nach einem neuen Arbeitsplatz befragt. Aufgrund der resultierenden Panelstruktur war es uns nun möglich Erkenntnisse zu sammeln, wie sich dieser zeitliche Aufwand auf individueller Ebene über die Dauer der Arbeitslosigkeit hinweg entwickelt. Unsere drei Hauptergebnisse lauten: 1) Der Suchaufwand verläuft flach zu Beginn der Arbeitslosigkeit. 2) Weiter steigt der Suchaufwand zum Ende der Bezugsdauer an, nimmt im Anschluss daran jedoch wieder ab. 3) Es gibt keine Anzeichen dafür, dass Leistungsbezieher die Aufnahme einer neuen Beschäftigung bewusst an das Ende der Bezugsdauer verzögern. Insbesondere das zweite und das dritte dieser Ergebnisse lassen sich kaum mit den Standardmodellen zur Arbeitssuche basierend auf unbeobachteter Heterogenität bzw. so genannten Storable Offer Modellen erklären. Dagegen können die genannten Ergebnisse gut mittels eines Suchmodells mit Reference Dependence erklärt werden." (Autorenreferat, IAB-Doku)

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Ge, Qi, Eun Jung Jordan, Myongjin Kim & Leilei Shen (2020): Returns to job satisfaction in the presence of horizontal mismatch. In: Applied Economics, Jg. 52, H. 27, S. 2913-2930. DOI:10.1080/00036846.2019.1696941

Abstract

"In this paper, we study the relationship among horizontal mismatch, job satisfaction and wages using data from the 2013 Scientists and Engineers Statistical Data System (SESTAT). Estimates from 2SLS indicate that 1) field-occupation match in the highest degree has a positive effect on job satisfaction and wages; and 2) controlling for field-occupation matches, job satisfaction has a positive but diminishing effect on wages with a large heterogeneity across different age groups. In addition, we also distinguish between job satisfaction arising from benefits and job satisfaction that is productivity enhancing and find both to have a positive but nonlinear effect on wages." (Author's abstract, IAB-Doku) ((en))

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Gertler, Mark, Christopher Huckfeldt & Antonella Trigari (2020): Unemployment Fluctuations, Match Quality, and the Wage Cyclicality of New Hires. In: The Review of Economic Studies, Jg. 87, H. 4, S. 1876-1914. DOI:10.1093/restud/rdaa004

Abstract

"We revisit the issue of the high cyclicality of wages of new hires. We show that after controlling for composition effects likely involving procyclical upgrading of job match quality, the wages of new hires are no more cyclical than those of existing workers. The key implication is that the sluggish behaviour of wages for existing workers is a better guide to the cyclicality of the marginal cost of labour than is the high measured cyclicality of new hires wages unadjusted for composition effects. Key to our identification is distinguishing between new hires from unemployment versus those who are job changers. We argue that to a reasonable approximation, the wages of the former provide a composition-free estimate of the wage flexibility, while the same is not true for the latter. We then develop a quantitative general equilibrium model with sticky wages via staggered contracting, on-the-job search, and heterogeneous match quality, and show that it can account for both the panel data evidence and aggregate evidence on labour market volatility." (Author's abstract, IAB-Doku) ((en))

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Granberg, Mark, Niklas Ottosson & Ali Ahmed (2020): Do ethnicity and sex of employers affect applicants’ job interest? An experimental exploration. In: Journal for labour market research, Jg. 54, S. 1-15. DOI:10.1186/s12651-020-00281-x

Abstract

"Starting a business is one way out of unemployment for many people. Having a small pool of job applicants may, however, affect the quality of manpower available to employers. This paper reports the results of an experimental study that examined whether job-seekers discriminate against prospective employers based on those employers’ ethnicity and sex. We conducted an experiment with 889 university students, where we presented 10 hypothetical job vacancies in the restaurant sector to the participants. We then asked participants to state their willingness to apply to each job. The ethnicity and sex of the employers were conveyed through employers’ names by using typical male and female Arabic- and Swedish-sounding names. Overall, our results provided no evidence of ethnic or sex discrimination by job-seekers against employers." (Author's abstract, IAB-Doku) ((en))

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Hetschko, Clemens, Julia Schmidtke, Michael Eid, Mario Lawes, Ronnie Schöb & Gesine Stephan (2020): The German job search panel. (OSF preprints), 2020-04-23. DOI:10.31219/osf.io/7jazr

Abstract

"This report introduces the German Job Search Panel, a longitudinal survey that follows people who register as job seeking over the course of up to two years. The focus of the survey is on job seekers’ well-being and health. An innovative survey app is used to allow for frequent measurement every month and for conducting the experience sampling method. The collected data may be linked to administrative records of the Federal Employment Agency, provided that people give their consent. A subsample of surveyed job seekers took part in hair sampling to measure their cortisol levels. In this report, we describe the sampling procedure, adjustments over the recruitment period and the collected data. We moreover examine selective participation in the panel. It turns out that high-skilled workers, young individuals and women were more likely to sign up. Age increases the probability to take part in the hair sampling. People working in East Germany were more likely to consent to the linkage of survey data and administrative records." (Author's abstract, IAB-Doku) ((en))

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Hoffman, Mitchell & Stephen V. Burks (2020): Worker overconfidence: Field evidence and implications for employee turnover and firm profits. In: Quantitative Economics, Jg. 11, H. 1, S. 315-348. DOI:10.3982/QE834

Abstract

"Combining weekly productivity data with weekly productivity beliefs for a large sample of truckers over 2 years, we show that workers tend to systematically and persistently overpredict their productivity. If workers are overconfident about their own productivity at the current firm relative to their outside option, they should be less likely to quit. Empirically, all else equal, having higher productivity beliefs is associated with an employee being less likely to quit. To study the implications of overconfidence for worker welfare and firm profits, we estimate a structural learning model with biased beliefs that accounts for many key features of the data. While worker overconfidence moderately decreases worker welfare, it also substantially increases firm profits." (Author's abstract, IAB-Doku) ((en))

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Kesternich, Iris, Heiner Schumacher, Stefan Schwarz & Bettina Siflinger (2020): Steigert sinnstiftende Arbeit die Bereitschaft zum Lohnverzicht? In: IAB-Forum H. 08.10.2020 Nürnberg, o. Sz., 2020-10-07.

Abstract

"Dass die meisten Menschen ihre Arbeit auch als sinnstiftend erleben möchten, ist wenig überraschend. Doch welchen Stellenwert hat dieser Wunsch im Vergleich zu anderen Kriterien wie Gehalt oder Arbeitsplatzsicherheit? Sind Menschen bereit, für mehr Sinnhaftigkeit auf einen Teil ihres Gehalts zu verzichten? Und unterscheiden sich Arbeitslose und Beschäftigte in dieser Hinsicht? Zu guter Letzt: Sind Menschen, die einer sinnstiftenden Arbeit nachgehen, produktiver?" (Autorenreferat, IAB-Doku)

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Lichter, Andreas & Amelie Schiprowski (2020): Benefit Duration, Job Search Behavior and Re-Employment. (CESifo working paper 8194), München, 32 S.

Abstract

"This paper studies how the potential duration of unemployment benefits affects individuals’ job search behavior and re-employment outcomes. We exploit an unexpected reform of the German unemployment insurance scheme in 2008, which increased the potential benefit duration from 12 to 15 months for recipients of age 50 to 54. Based on detailed survey data and difference-in-differences techniques, we estimate that one additional month of benefits reduces the number of filed applications by around 10% on average over the first two months of unemployment. Treatment effects on the reservation wage are positive but statistically insignificant. In a complementary analysis, we use social security data to investigate how the reform affected re-employment outcomes. The difference-in-differences estimates yield an elasticity of 0.24 (0.1) additional months in unemployment (nonemployment) per additional month of potential benefits. A cautious back-of-the-envelope calculation reveals substantial returns to early search effort." (Author's abstract, IAB-Doku) ((en))

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Liu, Dong & Mei-Po Kwan (2020): Measuring spatial mismatch and job access inequity based on transit-based job accessibility for poor job seekers. In: Travel behaviour and society, Jg. 19, S. 184-193. DOI:10.1016/j.tbs.2020.01.005

Abstract

"The few spatial mismatch studies that have examined spatial mismatch based on job accessibility consider travel time as the sole travel impedance. However, travel cost (e.g., fuel cost, parking fee and transit fare) is also an important factor in determining job accessibility especially for poor job seekers and needs to be integrated into job accessibility measure, because socially vulnerable people including poor job seekers could be disadvantaged by high travel cost (e.g., poor job seekers discouraged from using transit services for commuting due to high fare). By focusing on transit-based job accessibility, this study seeks to improve the assessment of spatial mismatch based on job accessibility by taking transit fare into account and determine the inequity in job accessibility for poor job seekers by conducting comparisons across areas and races. Based on a study of the Chicago Metropolitan Area, we first determine the demand for each census tract’s jobs based on a gravity model that integrates both transit-based travel time and transit fare of poor job seekers from other census tracts. Then, we measure the job accessibility for each census tract based on a gravity model considering the attraction of low-pay jobs weighted by job demand and the friction of transit-based travel time and transit fare. Finally, we assess spatial mismatch by comparing the job accessibility of central city poor job seekers against their suburban counterparts and determine the job access inequity for poor job seekers by comparing the results before and after including transit fare across different areas and races. The results show that central city poor job seekers, either before or after including transit fare, do not suffer from spatial mismatch and tend to have higher job accessibility compared to their suburban counterparts. However, the results obtained from including transit fare are quite different from those that considered travel time only, especially with respect to the differences between poor job seekers of different races living in different areas. For policymakers to be fully informed about spatial mismatch, it is important to take both travel time and transit fare into account." (Author's abstract, IAB-Doku) ((en))

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Berg, Gerard J. van den & Bas van der Klaauw (2019): Structural empirical evaluation of job search monitoring. In: International Economic Review, Jg. 60, H. 2, S. 879-903. DOI:10.1111/iere.12376

Abstract

"To evaluate search effort monitoring of unemployed workers, it is important to take account of post-unemployment wages and job-to-job mobility. We structurally estimate a model with search channels, using an RCT in which monitoring is randomized. The data include registers and survey data on search behavior. We find that the opportunity to move to better-paid jobs in employment reduces the extent to which monitoring induces substitution towards formal search channels in unemployment. Job mobility compensates for adverse long-run effects of monitoring on wages. We examine counterfactual policies against moral hazard, like reemployment bonuses and changes of the benefits path." (Author's abstract, Published by arrangement with John Wiley & Sons) ((en))

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Fu, Zhiming, Liang Wu & Ziguan Zhuang (2019): Labor supply, income distribution, and tax progressivity in a search model. In: The B.E. Journal of Macroeconomics, Jg. 19, H. 1, S. 1-18. DOI:10.1515/bejm-2017-0185

Abstract

"We develop a search model with risk-averse households to study the impact of tax progressivity on labor supply and income inequality across education groups. Labor supply responses are considered along both intensive and extensive margins. Our quantitative results are consistent with those of the existing empirical literature. First, we find that a decline in tax progressivity associated with the Tax Reform Act of 1986 has a significant impact on the aggregate labor supply with approximately 61 percent occurred along the extensive margin. Second, households differ in their labor and income responses to tax reform. A decline in tax progressivity changes the income composition of each household by affecting labor supplies and asset holdings. This leads to an increase in income inequality. Therefore, the tax share paid by the most educated group rises due to an increase in capital income after tax reforms are instituted." (Author's abstract, © De Gruyter) ((en))

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Fu, Jingcheng, Martin Sefton & Richard Upward (2019): Social comparisons in job search. In: Journal of Economic Behavior & Organization, Jg. 168, S. 338-361. DOI:10.1016/j.jebo.2019.10.013

Abstract

Using a laboratory experiment we examine how social comparisons affect behavior in a sequential search task. In a control treatment subjects search in isolation, while in two other treatments subjects get feedback on the search decisions and outcomes of a partner subject. The average level and rate of decline of reservation wages are similar across treatments. Nevertheless, subjects who are able to make social comparisons search differently from those who search in isolation. Within a search task we observe a reference wage effect: when a partner exits, the subject chooses a new reservation wage which is increasing in partner income. We also observe a social comparison effect between search tasks: subjects whose partners in a previous task searched for longer choose a higher reservation wage in the next task. Our findings imply that the provision of social information can change job-seekers search behavior. (Author's Abstract, IAB-Doku)

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Gartner, Hermann, Thomas Rothe & Enzo Weber (2019): The Quality-Weighted Matching Function: Did the German Labour Market Reforms Trade off Efficiency against Job Quality? (IAB-Discussion Paper 24/2019), Nürnberg, 14 S.

Abstract

"Wir analysieren den Zielkonflikt zwischen Umfang und Qualität der Beschäftigung, indem wir eine erweiterte Matching-Funktion schätzen, worin die Zahl der neue Beschäftigungsverhältnisse (Matches) mit deren Qualität gewichtet wird. Diesen Ansatz verwenden wir, um die Auswirkungen der Hartz-Reformen der Jahre 2003 bis 2005 auf den Arbeitsmarkt zu bewerten. In der Tat bestätigt sich, dass ein Teil der zusätzlichen Beschäftigungsverhältnisse durch schlechtere Qualität erkauft war. Auch bei konstanter Qualität der neuen Matches wäre aber gut die Hälfte des positiven Effektes auf die Matchingeffizienz infolge der Hartz-Reformen verblieben." (Autorenreferat, IAB-Doku)

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Hauptmann, Andreas (2019): Endogenous wage regime selection. A general equilibrium model. In: Economics Bulletin, Jg. 39, H. 4, S. 2650-2663., 2019-11-15.

Abstract

"Diese Arbeit analysiert die Rolle von Transaktionskosten im Kontext unvollständiger Tarifabdeckung und endogener Wahl des Lohnregimes. Es wird oft angenommen, dass Unternehmen gegen Gewerkschaften sind, weil sie die Gewinne verringern. In vielen Ländern liegt die Anerkennung der Gewerkschaften jedoch im Ermessen des Arbeitgebers, und gleichzeitig ist der Tarifvertrag eine der wichtigsten Formen der Lohnfindung. Im Gegensatz zur bisherigen Literatur gehe ich davon aus, dass das Verhandeln selbst nicht mehr kostenlos ist, sondern zusätzliche Ressourcen erfordert. Basierend auf einem einfachen theoretischen Modell zeigen die Ergebnisse, dass unterschiedliche Lohnsysteme, gewerkschaftlich und nicht gewerkschaftlich, im allgemeinen Gleichgewicht koexistieren, wenn die Kostenstrukturen zwischen den Lohnsystemen ausreichend unterschiedlich sind." (Autorenreferat, IAB-Doku)

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Herz, Benedikt (2019): Specific human capital and wait unemployment. In: Journal of labor economics, Jg. 37, H. 2, S. 467-508. DOI:10.1086/700190

Abstract

"A displaced worker might rationally prefer to wait through a long spell of unemployment instead of seeking employment at a lower wage in a job he is not trained for. I evaluate this trade-off using micro-data on displaced workers. To achieve identification, I exploit that the more a worker invested in occupation-specific human capital, the more costly it is for him to switch occupations and the higher is therefore his incentive to wait. I find that between 9% and 17% of total unemployment in the United States can be attributed to wait unemployment." (Author's abstract, IAB-Doku) ((en))

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Krug, Gerhard, Katrin Drasch & Monika Jungbauer-Gans (2019): The social stigma of unemployment. Consequences of stigma consciousness on job search attitudes, behaviour and success. In: Journal for labour market research, Jg. 53, H. 1, S. 1-27., 2019-07-03. DOI:10.1186/s12651-019-0261-4

Abstract

"Studies show that the unemployed face serious disadvantages in the labour market and that the social stigma of unemployment is one explanation. In this paper, we focus on the unemployed's expectations of being stigmatized (stigma consciousness) and the consequences of such negative expectations on job search attitudes and behaviour. Using data from the panel study 'Labour Market and Social Security' (PASS), we find that the unemployed with high stigma consciousness suffer from reduced well-being and health. Regarding job search, the stigmatized unemployed are more likely to expect that their chances of re-employment are low, but in contrast, they are more likely to place a high value on becoming re-employed. Instead of becoming discouraged and passive, we find that stigmatized unemployed individuals increase their job search effort compared to other unemployed individuals. However, despite their higher job search effort, the stigma-conscious unemployed do not have better re-employment chances." (Author's abstract, © Springer-Verlag) ((en))

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L'Horty, Yannick & Florent Sari (2019): The role of spatial and skill mismatches. Explaining long-term unemployment in Paris. In: Regional Studies. Journal of the Regional Studies Association, Jg. 53, H. 2, S. 283-296. DOI:10.1080/00343404.2018.1462480

Abstract

"In the Paris region, one can observe simultaneously the coexistence of a large and dynamic job pool with long-lasting periods of unemployment. This paradox reveals the importance of skill and spatial mismatch mechanisms, which are often used to explain disparities in local labour market outcomes. This paper uses several spatial models to measure the effects of these two mechanisms on unemployment durations in the Paris region. The results show that both problems affect municipalities close to the centre of Paris, while unemployment situations in municipalities on the fringes of the region are mainly affected by a lack of local employment dynamism." (Author's abstract, IAB-Doku) ((en))

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Limnios, Christopher (2019): Housing market and labor market search. In: The B.E. Journal of Macroeconomics, Jg. 19, H. 1, S. 1-23. DOI:10.1515/bejm-2018-0049

Abstract

"Current models fail to concurrently account for several important empirical regularities in the housing and labor markets. I augment the Diamond-Mortensen-Pissarides (DMP) search and matching model of the labor market with a housing market characterized by search and matching frictions, integrating both markets in a coherent macroeconomic model. The model provides a framework to explain how shocks and frictions which originate in the labor market spill over into the housing market and vise versa. The model accounts for procyclical, serially correlated real estate values, rental rates and expected real estate appreciation. Further, it accounts for increases in wages, housing costs and willingness to commute as a result of increases in geographic amenities. The model is also consistent with the empirical relationship between vacancy rates in the housing market and separation rates in the labor market. Simulations demonstrate that certain land-use policies can mitigate permanent shocks to labor productivity and the level of geographic amenities." (Author's abstract, © De Gruyter) ((en))

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Morkuté, Gintaré (2019): Location-specific knowledge in spatial job search and its outcomes. An empirical investigation. In: Papers in regional science, Jg. 98, H. 3, S. 1373-1395. DOI:10.1111/pirs.12418

Abstract

"This paper investigates how working location influences jobseekers' subsequent spatial job search. Further, it is assessed to what extent mobility between working regions is associated with wage growth. The results show that the working region functions as a prominent geographical anchor around which the new job search is focused. The jobseekers that do find a job far away from their old working region receive a small wage premium, but this premium disappears if selectivity is taken into account. It is concluded that employees demonstrate substantial stickiness to their working locations, and that this is motivated by asymmetry in search costs. No evidence was found that mobility between working regions in itself affects wages." (Author's abstract, Published by arrangement with John Wiley & Sons) ((en))

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Rose, Damaris & Haya Stier (2019): The skill divide in post-unemployment job quality. In: Social science research, Jg. 82, H. August, S. 105-112. DOI:10.1016/j.ssresearch.2019.04.003

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Somers, Melline A., Sofie J. Cabus, Wim Groot & Henriëtte Maassen van den Brink (2019): Horizontal mismatch between employment and field of education. Evidence from a systematic literature review. In: Journal of Economic Surveys, Jg. 33, H. 2, S. 597-603. DOI:10.1111/joes.12271

Abstract

"This paper provides a systematic review of the growing literature on the poor match between employees' field degree and the job requirements, also referred to as horizontal mismatch. We identify the different definitions used in the literature and find that each measure of horizontal mismatch yields substantially different incidence rates. We discuss the validity of the different measures and conclude that a more uniform definition of horizontal mismatch is needed. The likelihood of horizontal mismatch is among other things determined by the extent to which employees possess general skills as opposed to occupation-specific skills, and, it appears to be more frequently present among older workers. Compared to well-matched employees, horizontally mismatched workers generally incur a wage penalty, are less satisfied with their jobs, and are more likely to regret their study programme. The ensuing findings offer guidance to prevent horizontal mismatch as well as a roadmap for future research." (Author's abstract, Published by arrangement with John Wiley & Sons) ((en))

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Stotz, Christian (2019): Zumutbarkeit von Erwerbstätigkeit und Verschlossenheit des Arbeitsmarktes - aus juristischer Sicht. In: Der medizinische Sachverständige : MedSach, Jg. 104, H. 3, S. 116-122.

Abstract

"In zwei Entscheidungen aus den Jahren 1967 und 1976 entwickelte der Große Senat des Bundessozialgerichts Fallgestaltungen, nach denen eine Rente wegen voller Erwerbsminderung von den Trägern der gesetzlichen Rentenversicherung gezahlt werden muss, obwohl der Versicherte noch drei Stunden oder mehr täglich arbeiten kann, weil der (Teilzeit-)Arbeitsmarkt insoweit als verschlossen angesehen werden müsse. Der seinerzeit lediglich als Nischenmarkt existierende Teilzeitarbeitsmarkt (84.000 Beschäftigte 1967) hat sich jedoch mittlerweile zu einem Massenmarkt (8,94 Millionen Beschäftigte 2017) entwickelt, so dass es naheliegend erscheint, diese Entscheidungen des Bundessozialgerichts zu hinterfragen. Die allgemeine Akzeptanz, die diese Rechtsprechung gefunden und die zu Rechtssicherheit und Rechtsfrieden in diesem Bereich geführt hat und die vom Gesetzgeber inzwischen in mehreren Normen kodifiziert worden ist, spricht allerdings dafür, zurückhaltend bei einer Forderung nach Überprüfung der Rechtsprechung zur Verschlossenheit des Arbeitsmarktes zu sein. Teilweise erwerbsgeminderte Personen unterfallen auch bei Bezug einer vollen Erwerbsminderungsrente wegen Verschlossenheit des Arbeitsmarktes dem SGB II. Über die Zumutbarkeitsvorschrift des § 10 SGB II ist ein ausreichender Schutz der teilweise erwerbsgeminderten Personen davor gewährleistet, Tätigkeiten aufnehmen oder an Eingliederungsmaßnahmen teilnehmen zu müssen, die ihrer physischen oder psychischen Leistungsfähigkeit nicht entsprechen." (Autorenreferat, IAB-Doku)

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Suárez, Patricia, Matías Mayor, Begoña Cueto & María-Henar Salas-Olmedo (2019): The spatial structure of the labour market across public jobcentres. Does their accessibility matter? In: Papers in regional science, Jg. 98, H. 3, S. 1359-1372. DOI:10.1111/pirs.12414

Abstract

"The objective is to analyse how one's place of residence affects the probability of finding a job and to measure the definition of the public jobcentre catchment area, which contributes to improving labour outcomes in the most deprived areas. We propose a multilevel model to estimate the probability of finding a job controlling for individual characteristics and discerning the effect of the place of residence and the contribution of public employment centres. We use an administrative register of jobseekers (70,379) grouped by 384 postal codes and 24 jobcentres. The econometric results confirm the hypothesis that there is a strong residence effect that is not sufficiently mitigated by public employment services." (Author's abstract, Published by arrangement with John Wiley & Sons) ((en))

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Albrecht, James & Susan Vroman (2018): On-the-job search with match-specific amenities. In: Economics Letters, Jg. 162, H. January, S. 15-17. DOI:10.1016/j.econlet.2017.10.013

Abstract

"We construct an equilibrium on-the-job search model in which workers value wages and amenities. We show by example that in a standard (Burdett/Mortensen) model with a distribution of worker tastes over amenities, worker mobility need not imply equilibrium wage dispersion." (Author's abstract, © 2017 Elsevier) ((en))

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Arni, Patrick & Amelie Schiprowski (2018): Job search requirements, effort provision and labor market outcomes. (CESifo working paper 7200), München, 53 S.

Abstract

"How effective are effort targets? This paper provides novel evidence on the effects of job search requirements on effort provision and labor market outcomes. Based on large-scale register data, we estimate the returns to required job search effort, instrumenting individual requirements with caseworker stringency. Identification is ensured by the conditional random assignment of job seekers to caseworkers. We find that the duration of un- and non-employment both decrease by 3% if the requirement increases by one monthly application. When instrumenting actual applications with caseworker stringency, an additionally provided monthly application decreases the length of spells by 4%. In line with theory, we further find that the effect of required effort decreases in the individual's voluntary effort. Finally, the requirement level causes small negative effects on job stability, reducing the duration of re-employment spells by 0.3% per required application. We find a zero effect on re-employment wages." (Author's abstract, IAB-Doku) ((en))

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Battisti, Michele, Yvonne Giesing & Nadzeya Laurentsyeva (2018): Can job search assistance improve the labour market integration of refugees? evidence from a field experiment. (CESifo working paper 7292), München, 31 S.

Abstract

"We conducted a field experiment to evaluate the impact of job-search assistance on the employment of recently arrived refugees in Germany. The treatment group received jobmatching support: an NGO identified suitable vacancies and sent the refugees' CVs to employers. Results of follow-up phone surveys show a positive and significant treatment effect of 13 percentage points on employment after twelve months. These effects are concentrated among low-educated refugees and those facing uncertainty about their residence status. These individuals might not search effectively, lack access to alternative support programmes, and may be disregarded by employers due to perceived higher hiring costs." (Author's abstract, IAB-Doku) ((en))

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Boitier, Vincent & Antoine Lepetit (2018): Reduced form wage equations in the credible bargaining model. In: Labour economics, Jg. 50, H. March, S. 92-96. DOI:10.1016/j.labeco.2016.04.003

Abstract

"We derive an explicit solution for the wage from an alternating-offer wage bargaining game à la Hall and Milgrom (2008) under a plausible parameter restriction. This solution is simple, micro-founded and permits a transparent analysis of the driving forces of wages. When it is used in a stationary steady-state search and matching model, the value of all endogenous variables can be expressed as a function of the parameters of the model and the exogenous variables. In a dynamic setup, the solution is much simpler to implement than the one found in the original paper of Hall and Milgrom (2008)." (Author's abstract, © 2016 Elsevier) ((en))

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Carrillo-Tudela, Carlos, Michael Graber & Klaus Wälde (2018): Unemployment and vacancy dynamics with imperfect financial markets. In: Labour economics, Jg. 50, H. March, S. 128-143. DOI:10.1016/j.labeco.2017.04.005

Abstract

"This paper proposes a simple general equilibrium model with labour market frictions and an imperfect financial market. The aim of the paper is to analyse the transitional dynamics of unemployment and vacancies when financial constraints are in place. We model the financial sector as a monopolistically competitive banking sector that intermediates financial capital between firms. This structure implies a per period financial resource constraint which has a closed form solution and describes the transition path of unemployment and vacancies to their steady state values. We show that the transition path crucially depends on the degree of wage flexibility. When wages do not depend on the unemployment rate the transition path is always downward sloping. This implies unemployment and vacancies adjust in opposite directions as observed in the data. When calibrating the model to the Great Recession and its aftermath we find that the lack of an improvement in the financial sector's effectiveness to intermediate resources played a crucial role in the slow recovery of the labour market." (Author's abstract, © 2017 Elsevier) ((en))