Unemployment Persistence

Wiji Arulampalam, Alison Booth and Mark Taylor ()

Oxford Economic Papers, 2000, vol. 52, issue 1, 24-50

Abstract: We estimate dynamic panel data models of unemployment incidence for men using the British Household Panel Survey. Econometric issues concerning unobserved individual heterogeneity, genuine state dependence, and the initial conditions problems are addressed in detail. We find strong evidence of state dependence consistent with the scarring theory of unemployment--an individual's previous unemployment experience has implications for his future labour market experience. This suggests that policies reducing short run employment incidence will have longer-run effects by reducing the equilibrium or natural rate of unemployment. Copyright 2000 by Oxford University Press.

Date: 2000
References: Add references at CitEc
Citations: View citations in EconPapers (238)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
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:oup:oxecpp:v:52:y:2000:i:1:p:24-50

Ordering information: This journal article can be ordered from
https://academic.oup.com/journals

Access Statistics for this article

Oxford Economic Papers is currently edited by James Forder and Francis J. Teal

More articles in Oxford Economic Papers from Oxford University Press Oxford University Press, Great Clarendon Street, Oxford OX2 6DP, UK.
Bibliographic data for series maintained by Oxford University Press ().