Measuring the cyclicality of labour market flows using individual transitions

Regina Riphahn and Rebecca Schrader

Applied Economics Letters, 2017, vol. 24, issue 9, 643-647

Abstract: We investigate whether the choice of a business cycle measure affects estimates of the cyclicality of labour market flows. We exploit precise administrative data on individual labour market transitions and study the association of alternative business cycle measures with individual transitions between employment and unemployment. We find indeed substantial heterogeneities across business cycle indicators that may have affected the results of prior studies on labour market transitions.

Date: 2017
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DOI: 10.1080/13504851.2016.1218418

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