Nonparametric Estimation of a Dependent Competing Risks Model for Unemployment Durations

Working Paper: CEPR ID: DP4120

Authors: Gerard J. van den Berg; A. Gijsbert C. van Lomwel; Jan C. van Ours

Abstract: In this Paper we simultaneously analyse transitions from unemployment to employment and to non-participation. We estimate a dependent competing risks model with non-parametric specifications of the destination-specific duration dependence and unobserved heterogeneity terms, allowing for mutual dependence of the unobserved heterogeneity terms. We use a unique population data set of French unemployment over the period 1988-94, stratified by gender type, duration class and exit state.

Keywords: duration dependence; exit rate; hazard rate; nonparticipation; unobserved heterogeneity

JEL Codes: C41; J64


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
unobserved heterogeneity (C21)transition from unemployment to employment (J68)
unobserved heterogeneity (C21)transition from unemployment to nonparticipation (J68)
destination-specific duration dependence (C41)transition from unemployment to employment (J68)
destination-specific duration dependence (C41)transition from unemployment to nonparticipation (J68)

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