An Empirical Study of Long-term Unemployment in Australia

Pravin Trivedi and W T Hui

Journal of Labor Economics, 1987, vol. 5, issue 1, 20-42

Abstract: The first part of this paper concentrates on modeling transitions out of unemployment using aggregated gross flow data. Models are estimated using monthly transition probabilities for March-April 1984. This analysis produces evidence consistent with negative duration dependence but sheds no light on the role of macroeconomic factors. The second part focuses on this issue. A time-series analysis of the proportion of long-term unemployment, using data for four age and sex groups, provides evidence that a proportionately has been associated with reduction in job availability. Copyright 1987 by University of Chicago Press.

Date: 1987
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