Working Paper: CEPR ID: DP2063
Authors: John Micklewright; Gyula Nagy
Abstract: Labour market analysis places much emphasis on the concept of search. But there is insufficient empirical information on (a) the relationship between reported search and job-finding and (b) how search behaviour changes over a spell without work. We investigate these issues using a sample constructed from Hungarian labour force survey panel data of the flow from jobs to the state of "joblessness". The results on job exits call into question aspects of the standard international classification of "unemployment" and "out of the labour force". Transitions during joblessness in and out of search and the various categories of non-search are found to be only modest.
Keywords: search; labour force status; Hungary
JEL Codes: J60; J64
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| job search activity (J68) | likelihood of finding jobs (J68) |
| active search and passive search (E63) | exit rates to jobs (J63) |
| active searching (E63) | reemployment speed (J68) |
| discouraged (Y40) | reemployment speed (J68) |
| local unemployment rates (J69) | likelihood of entering discouragement (C92) |
| joblessness duration (J64) | probability of ceasing search (C41) |