The unhappily unemployed return to work faster

Dimitris Mavridis

IZA Journal of Labor Economics, 2015, vol. 4, issue 1, 1-22

Abstract: This paper shows that job loss is associated with a fall in subjective well-being (SWB). It then looks at how this change in SWB predicts job search and unemployment duration. The findings suggest that those who report feeling hurt by unemployment have shorter unemployment durations. Men who report a loss of SWB are also more likely to look for a job, but women’s job search is not affected by the SWB loss. These findings confirm the theoretical prediction from job search theory: search effort and unemployment duration are affected by the utility differential between having a job and being unemployed. JEL codes: J64; J28 Copyright Mavridis; licensee Springer. 2015

Keywords: Unemployment duration; Job search; Subjective well-being (search for similar items in EconPapers)
Date: 2015
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DOI: 10.1186/s40172-014-0015-z

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