On the Measurement of Mismatch

Carsten Ochsen

No 44, Thuenen-Series of Applied Economic Theory from University of Rostock, Institute of Economics, Germany

Abstract: This paper introduces and examines a definition of an equilibrium rate of unemployment that can be used as mismatch indicator, too. In contrast to existing indicators this measurement method is based directly on the Beveridge-Curve. An application of the indicator to nine OECD countries leads to diverging results. Most of the considered countries have experienced increasing mismatch in the seventies and decreasing mismatch in the nineties. The latter result is somewhat surprising, since mismatch was expected to be increasing in the nineties. However, the estimates for Germany are against this international trend, due to the fact that mismatch has increased steadily since the middle of the sixties.

Keywords: Mismatch; Beveridge-Curve; equilibrium unemployment (search for similar items in EconPapers)
JEL-codes: J41 J69 E24 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-mac
Date: 2004
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Journal Article: On the measurement of mismatch (2009)
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Persistent link: http://EconPapers.repec.org/RePEc:ros:wpaper:44

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