The Lost Generation: Effects of Youth Labor Market Opportunities on Long-Term Labor Market Outcomes

Venke Furre Haaland ()
Additional contact information
Venke Furre Haaland: UiS, Postal: University of Stavanger, NO-4036 Stavanger, Norway

No 2013/8, UiS Working Papers in Economics and Finance from University of Stavanger

Abstract: The labor market conditions that youth face at the typical age of labor market entry can impact their success in the labor market. Utilizing registry data for all Norwegian males born in 1961–1975, I demonstrate that local unemployment rates at the typical age of graduation from compulsory school (age 16) and high-school (age 19) have persistent, negative effects on males’ earnings, employment, and disability pension utilization when measured as late as age 35. With data on every male IQ, I am able to study how labor market conditions at age of graduation have varying effects for low- and high-ability males. As expected, low-ability males are particularly vulnerable to business cycles at the time of labor market entry. For low-ability youth, a 1 percentage point increase in the local unemployment rate at age 16 reduces earnings at age 35 by about 4 percent and increases the likelihood of being on disability pension by about 20 percent.

Keywords: . (search for similar items in EconPapers)
JEL-codes: A10 (search for similar items in EconPapers)
Pages: 48 pages
Date: 2013-12-10
New Economics Papers: this item is included in nep-lab and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://dl.dropboxusercontent.com/u/8078351/uis_wps ... s_2013_8_haaland.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://dl.dropboxusercontent.com/u/8078351/uis_wps_econ_fin/uis_wps_2013_8_haaland.pdf [301 Moved Permanently]--> https://dl.dropboxusercontent.com/u/8078351/uis_wps_econ_fin/uis_wps_2013_8_haaland.pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hhs:stavef:2013_008

Access Statistics for this paper

More papers in UiS Working Papers in Economics and Finance from University of Stavanger University of Stavanger, NO-4036 Stavanger, Norway. Contact information at EDIRC.
Bibliographic data for series maintained by Bernt Arne Odegaard ().