scholarly journals Geographic Mobility and the Costs of Job Loss

2015 ◽  
Vol 15 (4) ◽  
pp. 1793-1829 ◽  
Author(s):  
Nicholas A. Jolly
Keyword(s):  
Job Loss ◽  
Panel Study ◽  
Displaced Workers ◽  
Early Years ◽  
Geographic Mobility ◽  
Lower Probability ◽  
Income Dynamics ◽  
Earnings Losses ◽  
Loss Experience

Abstract This paper uses data from the 1968 through 1997 survey waves of the Panel Study of Income Dynamics to analyze how the long-term costs of job loss vary by a worker’s post-displacement migration status. Results from the analysis show that those individuals who move within the first 2 years after a job loss experience lower earnings losses, lower reductions in hours worked, and smaller increases in time unemployed when compared to a group of displaced workers who are not geographically mobile during the early years following this life event. Workers who move within the first 2 years after displacement face a lower probability of homeownership when compared to their non-mobile counterparts. However, this lower probability is short-lived.

scholarly journals Earnings Losses of Displaced Workers Revisited

2010 ◽  
Vol 100 (1) ◽  
pp. 572-589 ◽  
Author(s):  
Kenneth A Couch ◽  
Dana W Placzek
Keyword(s):  
Administrative Data ◽  
Unemployment Insurance ◽  
Fixed Effects ◽  
Panel Study ◽  
Displaced Workers ◽  
Income Dynamics ◽  
Matching Estimators ◽  
Earnings Losses ◽  
Random Growth ◽  
Mass Layoff

Earnings losses of Connecticut workers affected by mass layoff are calculated using administrative data. Estimated reductions are initially more than 30 percent and six years later, as much as 15 percent. The Connecticut estimates are smaller than comparable ones from Pennsylvania administrative data but similar to those from the Panel Study of Income Dynamics (PSID) and Department of Workforce Services (DWS). Earnings reductions in Connecticut and Pennsylvania are concentrated among Unemployment Insurance recipients. An unusually high proportion of Unemployment Insurance beneficiaries in Pennsylvania explains the larger estimated losses relative to other studies. Fixed-effects, random growth, and matching estimators produced similar earnings loss estimates suggesting each is relatively unbiased in this context.

scholarly journals Choosing a Control Group for Displaced Workers

ILR Review ◽  
2017 ◽  
Vol 71 (5) ◽  
pp. 1232-1254 ◽  
Author(s):  
Pawel Krolikowski
Keyword(s):  
Panel Study ◽  
Displaced Workers ◽  
Average Treatment Effect ◽  
Control Group ◽  
Income Dynamics ◽  
Initial Displacement ◽  
Earnings Losses ◽  
Long Run ◽  
Job Instability ◽  
The Impact

The vast majority of studies on the earnings of displaced workers use a control group of never-displaced workers to examine the effects of initial displacement. This approach attributes earnings declines associated with all future job instability to the initial displacement event, overstating the losses relative to the average treatment effect. In this article, the author’s approach isolates the impact of an average displacement without conditioning on future displacement status in the control group. In comparisons of the standard and alternative approaches using Panel Study of Income Dynamics (PSID) data, the estimated long-run earnings losses fall dramatically from 25% to as low as 5%.

ARE INITIAL WAGE LOSSES OF INTERSECTORAL MOVERS COMPENSATED FOR BY THEIR SUBSEQUENT WAGE GAINS?

2010 ◽  
Vol 14 (4) ◽  
pp. 501-526 ◽  
Author(s):  
Donggyun Shin ◽  
Kwanho Shin ◽  
Seonyoung Park
Keyword(s):  
Panel Study ◽  
Wage Growth ◽  
Longitudinal Survey ◽  
Income Dynamics ◽  
Utility Model ◽  
Economic Costs ◽  
Job Seekers ◽  
Short Term ◽  
Wage Loss

This paper presents an equilibrium explanation of the inter- and intrasectoral mobility of workers. Analyses of our samples from the Panel Study of Income Dynamics and the National Longitudinal Survey of Youth show that, other things being equal, the initial wage decline is greater for intersectoral movers than for intrasectoral movers. Intersectoral movers, however, enjoy higher wage growth in subsequent years on postunemployment jobs than intrasectoral movers do, and hence are compensated for their initial wage decline. Our estimates suggest that, other things being constant, the additional short-term wage loss associated with sector shifts is overturned in no more than four years by the greater wage growth of intersectoral movers in subsequent years. The findings in the current study clearly show that the true economic costs of intersector mobility tend to be overstated in existing studies and are significantly lowered in the long-term perspective. Calibration of a simple lifetime utility model demonstrates that inter- and intrasectoral movements of workers are quantitatively consistent with an equilibrium framework, at least for a major group of workers who move with longer term perspectives. Evidence also shows that job seekers consider not only the initial wage rate but also the subsequent wages received from the postunemployment job when deciding whether to recommence employment or switch sectors.

Gentrification, Property Tax Limitation, and Displacement

2016 ◽  
Vol 54 (1) ◽  
pp. 33-73 ◽  
Author(s):  
Isaac William Martin ◽  
Kevin Beck
Keyword(s):  
Panel Study ◽  
Property Tax ◽  
State Level ◽  
Property Taxes ◽  
Income Dynamics ◽  
Data Set ◽  
Policy Makers ◽  
State Laws ◽  
Tax Limitation

Scholars have long argued that gentrification may displace long-term homeowners by causing their property taxes to increase, and policy makers, including the U.S. Supreme Court, have cited this argument as a justification for state laws that limit the increase of residential property taxes. We test the hypotheses that gentrification directly displaces homeowners by increasing their property taxes, and that property tax limitation protects residents of gentrifying neighborhoods from displacement, by merging the Panel Study of Income Dynamics with a decennial Census-tract-level measure of gentrification and a new data set on state-level property tax policy covering the period 1987 to 2009. We find some evidence that property tax pressure can trigger involuntary moves by homeowners, but no evidence that such displacement is more common in gentrifying neighborhoods than elsewhere, nor that property tax limitation protects long-term homeowners in gentrifying neighborhoods. We do find evidence that gentrification directly displaces renters.

scholarly journals Access to Social Capital

1995 ◽  
Vol 16 (5) ◽  
pp. 609-631 ◽  
Author(s):  
JOHANNE BOISJOLY ◽  
GREG J. DUNCAN ◽  
SANDRA HOFFERTH
Keyword(s):  
Social Capital ◽  
Panel Study ◽  
Well Being ◽  
Longitudinal Survey ◽  
Geographic Mobility ◽  
Income Dynamics ◽  
Trade Off ◽  
Family Ties ◽  
Perceived Access ◽  
Economic Well Being

Defining social capital as perceived access to time and money help from friends and family, this article examines (a) the stock of social capital to which families have access, (b) the trade-off between access to money and time help, and (c) the association between perceived access to time and money help and conventional measures of family economic well-being. Data come from the 1980 wave of the Panel Study of Income Dynamics, an ongoing longitudinal survey of U.S. households. More than 9 out of 10 families reported access to social capital. Some evidence for isolation from social capital among families with a less-educated or older head was found. Surprisingly, families in very poor neighborhoods reported more access to social capital, primarily in friend-based networks. Finally, geographic mobility leads to increased social isolation, because it reduces family ties.

The Long-Term Costs of Job Displacement for Young Adult Workers

ILR Review ◽  
2003 ◽  
Vol 56 (4) ◽  
pp. 682-698 ◽  
Author(s):  
Lori G. Kletzer ◽  
Robert W. Fairlie
Keyword(s):  
Young Adults ◽  
Older Workers ◽  
Job Loss ◽  
Job Displacement ◽  
Young Workers ◽  
Earnings Growth ◽  
Earnings Losses ◽  
Expected Earnings ◽  
Annual Earnings

Using NLSY data, the authors estimate the long-term costs of job displacement for young adults. Earnings and wage losses were large for the first three years following displacement. Compared to earnings losses found by other studies for more mature workers, however, earnings losses for these young adults were short-lived, with differences between observed and expected earnings narrowing considerably five years after job loss. At that point, the shortfall in annual earnings (relative to what would have been expected absent job loss) was 9% for men and 12.5% for women, and the shortfall in hourly wages was 21.2% for men. Young workers also apparently differ from more established workers in the composition of total earnings losses: for older workers, total losses largely represent actual, immediate earnings losses, whereas for young workers the loss of opportunities for rapid earnings growth is more important.

Workers’ Identities in Transition: Deindustrialisation and Scottish Steelworkers

2019 ◽  
Vol 4 (2) ◽  
pp. 55-78
Author(s):  
James Patrick Ferns
Keyword(s):  
Oral History ◽  
Job Loss ◽  
Displaced Workers ◽  
Workplace Culture ◽  
Occupational Culture ◽  
Trade Unionism ◽  
Occupational Community ◽  
Long Term Impact

Deindustrialisation is often characterised as an ending, with sentiments of intangible loss andidentity disintegration defining displaced workers’ narratives of job loss. These experiencesare important, yet workers do not cease to exist with the closure of their workplace. Despitethis, little attention has been paid to the post-redundancy employment experiences of formerheavy industry workers or the survivability of their specific occupational identities and workcultures. This article examines the post-redundancy employment of former Scottishsteelworkers. Given their previous immersion in a distinctive occupational culture, a study ofthe post-redundancy employment experiences of these workers offers a window into theafterlives of deindustrialisation. Oral history is indispensable in prioritising working-classperspectives, therefore this article draws on seventeen newly conducted oral history interviewswith former Scottish steelworkers who were made redundant in the early 1990s. In order tobetter understand the long-term impact of deindustrialisation, as well as gage the survivabilityof occupational identities and work cultures, this article examines the ways in whichsteelworkers’ post-redundancy employment contrasted with steelmaking, focusing on thefollowing thematic areas: the significance of work; trade unionism and collective values;masculinity and emasculation; occupational community and workplace culture.

scholarly journals Sources of Displaced Workers’ Long-Term Earnings Losses

2020 ◽  
Vol 110 (10) ◽  
pp. 3231-3266 ◽  
Author(s):  
Marta Lachowska ◽  
Alexandre Mas ◽  
Stephen A. Woodbury
Keyword(s):  
Great Recession ◽  
Washington State ◽  
Displaced Workers ◽  
Work Hours ◽  
Hourly Wage ◽  
The Great Recession ◽  
Wage Rates ◽  
Earnings Losses ◽  
Wage Premiums

We estimate the magnitudes of reduced earnings, work hours, and wage rates of workers displaced during the Great Recession using linked employer-employee panel data from Washington state. Displaced workers’ earnings losses occurred mainly because hourly wage rates dropped at the time of displacement and recovered sluggishly. Lost employer-specific premiums explain only 17 percent of these losses. Fully 70 percent of displaced workers moved to employers paying the same or higher wage premiums than the displacing employers, but these workers nevertheless suffered substantial wage rate losses. Loss of valuable specific worker-employer matches explains more than one-half of the wage losses. (JEL E32, J22, J31, J63, R23)

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