Did COVID-19 Deteriorate Mismatch in the Japanese Labor Market?

Yudai Higashi and Masaru Sasaki
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Yudai Higashi: Faculty of Economics, Kyoto Sangyo University and Research Institute for Economics & Business Administration , Kobe University, JAPAN
Masaru Sasaki: Graduate School of Economics, Osaka University, JAPAN and Institute of Labor Economics (IZA), GERMANY

No DP2024-29, Discussion Paper Series from Research Institute for Economics & Business Administration, Kobe University

Abstract: This study explores how the COVID-19 pandemic deteriorated the mismatch in the Japanese labor market. First, we focus on the differences in job flows by occupation and employment type, which differ according to the risk of infection. We then estimate the mismatch indices for distinct labor markets clustered by occupations that are more and less vulnerable to the pandemic using the method developed by Şahin et al. (2014). We find that the pandemic induced a mismatch for full-time workers in occupations with a high risk of infection, those in which it is easy to work remotely, and those in which it is particularly difficult to work remotely, as well as for part-time workers in occupations in which it is easy to work remotely.

Keywords: Mismatch; O-NET data; COVID-19; Labor market tightness (search for similar items in EconPapers)
JEL-codes: J61 J62 J63 (search for similar items in EconPapers)
Pages: 68 pages
Date: 2024-08
New Economics Papers: this item is included in nep-lab
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