Recall and Unemployment

Shigeru Fujita and Giuseppe Moscarini

American Economic Review, 2017, vol. 107, issue 12, 3875-3916

Abstract: We document in the Survey of Income and Program Participation covering the period 1990–2013 that a surprisingly large share of workers return to their previous employer after a jobless spell, and experience very different unemployment and employment outcomes than job switchers. The probability of recall is much less procyclical and volatile than the probability of finding a new employer. We add to a quantitative, and otherwise canonical, search-and-matching model of the labor market a recall option, which can be activated freely following aggregate and job-specific productivity shocks. Recall and search effort significantly amplify the cyclical volatility of new job-finding and separation probabilities.

JEL-codes: E24 E32 J63 J64 (search for similar items in EconPapers)
Date: 2017
Note: DOI: 10.1257/aer.20131496
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (70)

Downloads: (external link)
https://www.aeaweb.org/articles?id=10.1257/aer.20131496 (application/pdf)
https://www.aeaweb.org/content/file?id=5879 (application/zip)
https://www.aeaweb.org/articles/attachments?retrie ... diTTBmczwAZRMqmylnp6 (application/pdf)
https://www.aeaweb.org/articles/attachments?retrie ... nN_Ct38AFXp4pdubTzdk (application/zip)
Access to full text is restricted to AEA members and institutional subscribers.

Related works:
Working Paper: Recall and Unemployment (2017)
Working Paper: Recall and Unemployment (2016)
Working Paper: Recall and unemployment (2013)
Working Paper: Recall and Unemployment (2013)
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:aea:aecrev:v:107:y:2017:i:12:p:3875-3916

Ordering information: This journal article can be ordered from
https://www.aeaweb.org/journals/subscriptions

Access Statistics for this article

American Economic Review is currently edited by Esther Duflo

More articles in American Economic Review from American Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Michael P. Albert ().