The cyclicality of job-to-job transitions and its implications for aggregate productivity

B-Tier
Journal: Journal of Economic Dynamics and Control
Year: 2014
Volume: 39
Issue: C
Pages: 1-17

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

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

Abstract

This paper analyzes the job-to-job transitions of workers in the United States. First, I propose a new method of correcting the time-aggregation bias. The bias correction does not significantly alter the cyclical properties of the job-to-job transition rates. The bias-corrected series from 1996 to 2011 reveals a procyclical pattern of job-to-job transitions and a large decline since the beginning of the 2000s. Second, I construct a model of on-the-job search and explore the implications of this phenomenon. The calibrated model quantifies the effect of the decline in the reallocation of workers through job-to-job transitions on total factor productivity (TFP). From 2009 to 2011, the model accounts for about 0.4–0.5% annual decline in TFP.

Technical Details

RePEc Handle
repec:eee:dyncon:v:39:y:2014:i:c:p:1-17
Journal Field
Macro
Author Count
1
Added to Database
2026-01-26