Unemployment and Subsequent Wages: Does Gender Matter?

Fredrik Wiklund
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Fredrik Wiklund: Ministry of Finance, Postal: SE-103 33 Stockholm, Sweden

No 1999:5, Working Paper Series from Uppsala University, Department of Economics

Abstract: Are there any differences in how men and women fare from unemployment in terms of the wages they receive on a new job? This paper addresses that question using the 1991 wave of the Level of Living Survey. The results suggest that men who experience unemployment will suffer a reduction of subsequent wages while no such effect could be found for women. These findings support the interpretation that women invest more in general rather than specific human capital which make them less exposed to career interruptions, at least those of a short duration. Due to the favourable labour market at the time, average unemployment duration was rather short, which may have prevented general capital from depreciating. However, the presence of large negative occurrence effects for men suggests that unemployment, even of a short duration, is associated with considerable loss of human capital.

Keywords: Unemployment; Gender; Human Capital; Wages (search for similar items in EconPapers)
JEL-codes: J16 (search for similar items in EconPapers)
Pages: 35 pages
Date: 1999-03-22
New Economics Papers: this item is included in nep-lab and nep-ltv
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:hhs:uunewp:1999_005

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