The Sullying Effect of Recessions

S-Tier
Journal: Review of Economic Studies
Year: 2002
Volume: 69
Issue: 1
Pages: 65-96

Score contribution per author:

8.043 = (α=2.01 / 1 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Previous work has established that recessions involve a “cleansing” effect, so that in downturns, only high productivity jobs remain. But empirical evidence suggests job quality is procyclical: jobs created in recessions are likely to be low-paying and temporary. This paper modifies previous models by adding on-the-job search, which leads to an additional “sullying” effect. Calibration of the model suggests this offsetting sullying effect is likely to be much larger than the cleansing effect, and can account for the procyclical match quality we observe in the data. Copyright 2002, Wiley-Blackwell.

Technical Details

RePEc Handle
repec:oup:restud:v:69:y:2002:i:1:p:65-96
Journal Field
General
Author Count
1
Added to Database
2026-01-24