scholarly journals Taxation of Temporary Jobs: Good Intentions with Bad Outcomes?

2019 ◽  
Vol 130 (626) ◽  
pp. 422-445
Author(s):  
Pierre Cahuc ◽  
Olivier Charlot ◽  
Franck Malherbet ◽  
Helène Benghalem ◽  
Emeline Limon
Keyword(s):  
Short Duration ◽  
Job Search ◽  
Job Creation ◽  
European Countries ◽  
Search And Matching ◽  
Matching Model ◽  
Search And Matching Model ◽  
The Mean

Abstract This article analyses the consequences of the taxation of temporary jobs of short duration recently introduced in several European countries to induce firms to create more open-ended contracts and to increase the duration of jobs. The estimation of a job search and matching model on French data shows that the taxation of temporary jobs does not reach its objectives: it reduces the mean duration of jobs and decreases job creation, employment and welfare of unemployed workers.

scholarly journals Mismatch Unemployment and the Geography of Job Search

2018 ◽  
Vol 10 (3) ◽  
pp. 42-70 ◽  
Author(s):  
Ioana Marinescu ◽  
Roland Rathelot
Keyword(s):  
Job Search ◽  
Search And Matching ◽  
Job Seekers ◽  
Matching Model ◽  
Search And Matching Model ◽  
Aggregate Unemployment ◽  
Using Data ◽  
A Minor ◽  
Zip Code

Could we significantly reduce US unemployment by helping job seekers move closer to jobs? Using data from the leading employment board CareerBuilder.com, we show that, indeed, workers dislike applying to distant jobs: job seekers are 35 percent less likely to apply to a job 10 miles (mi.) away from their zip code of residence. However, because job seekers are close enough to vacancies on average, this distaste for distance is fairly inconsequential: our search and matching model predicts that relocating job seekers to minimize unemployment would decrease unemployment by only 5.3 percent. Geographic mismatch is thus a minor driver of aggregate unemployment. (JEL E24, J41, J61, J63, J64, R23)

scholarly journals THE CYCLICAL BEHAVIOR OF UNEMPLOYMENT AND VACANCIES WITH LOSS OF SKILLS DURING UNEMPLOYMENT

2016 ◽  
Vol 21 (6) ◽  
pp. 1277-1304 ◽  
Author(s):  
Victor Ortego-Marti
Keyword(s):  
Human Capital ◽  
Aggregate Productivity ◽  
Search And Matching ◽  
Matching Model ◽  
Cyclical Fluctuations ◽  
Search And Matching Model ◽  
Cyclical Behavior

This paper studies the cyclical fluctuations in unemployment and vacancies in a search and matching model in which workers lose skills during periods of unemployment. Firms' profits fluctuate more because aggregate productivity affects the economy's average human capital. Moreover, wages for workers with lower levels of human capital are closer to the value of nonmarket time, leading to more rigid wages. Fluctuations in the vacancy--unemployment ratio are larger than those in the baseline search and matching model and similar to those we observe in the data.

scholarly journals A NOTE ON THE RELATION BETWEEN SEARCH COSTS AND SEARCH DURATION FOR NEW HIRES

2020 ◽  
pp. 1-14 ◽  
Author(s):  
Francesco Carbonero ◽  
Hermann Gartner
Keyword(s):  
Labor Market ◽  
Instrumental Variable ◽  
Search Costs ◽  
Market Volatility ◽  
Fixed Costs ◽  
Search And Matching ◽  
Matching Model ◽  
Instrumental Variable Estimation ◽  
Search And Matching Model ◽  
New Hires

Fixed search costs, that is, costs that do not vary with search duration, can amplify the cyclical volatility of the labor market. To assess the size of fixed costs, we analyze the relation between search costs and search duration using German establishment data. An instrumental variable estimation shows no relation between search duration and search costs. We conclude that search costs are mainly fixed costs. Furthermore, we show that a search and matching model, calibrated for Germany with fixed costs close to 75%, can generate labor market volatility that is consistent with the data.

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