Large Employers Are More Cyclically Sensitive

Giuseppe Moscarini and Fabien Postel-Vinay

No 14740, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We provide new evidence that large firms or establishments are more sensitive than small ones to business cycle conditions. Larger employers shed proportionally more jobs in recessions and create more of their new jobs late in expansions, both in gross and net terms. We employ a variety of measures of relative employment growth, employer size and classification by size, and a variety of U.S. datasets, both repeated cross-sections and job flows with employer longitudinal information, starting in the mid 1970's and now spanning four business cycles. We revisit two statistical fallacies, the Regression and Reclassification biases, and show empirically that they are quantitatively modest given our focus on relative cyclical behavior. The differential growth rate of employment between large (>1000 employees) and small (

JEL-codes: E24 E32 J23 J63 (search for similar items in EconPapers)
Date: 2009-02
New Economics Papers: this item is included in nep-bec, nep-ent, nep-lab and nep-mac
Note: EFG
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (23)

Published as The Contribution of Large and Small Employers to Job Creation in Times of High and Low Unemployment, with Fabien Postel-Vinay. American Economic Review, October 2012, 102(6), 2509-2539. See also NBER WP 14740

Downloads: (external link)
http://www.nber.org/papers/w14740.pdf (application/pdf)

Related works:
Working Paper: Large Employers Are More Cyclically Sensitive (2009)
Working Paper: Large Employers Are More Cyclically Sensitive (2009)
Working Paper: Large Employers Are More Cyclically Sensitive (2009)
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:nbr:nberwo:14740

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w14740

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().