A DYNAMIC ANALYSIS OF SEGMENTED LABOR MARKET

Patrice Gaubert and Marie Cottrell ()
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Marie Cottrell: MATISSE - UMR 8595 - Modélisation Appliquée, Trajectoires Institutionnelles et Stratégies Socio-Économiques - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, SAMOS - Statistique Appliquée et MOdélisation Stochastique - UP1 - Université Paris 1 Panthéon-Sorbonne

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Abstract: Using the Panel Study of Income Dynamics data on the period 1982-1992, this paper investigates some mechanisms of the labor market in the United States. This market is analyzed as a stable structure constituted of segments which present contrasted characteristics under the usual distinction between primary and secondary sectors. Using a neural network algorithm applied on quantitative variables measured at the level of heads of household, a broad classification in four classes of situations is constructed. It shows a clear hierarchy going from situations of very precarious work or no work at all, to situations of stable jobs with higher wages than the average. A Markov chain, constructed with the trajectories between the different situations of these workers, shows a very stable structure of this segmented labor market. Keywords: segmented labor market, unemployment, trajectories, Kohonen algorithm, Markov chain.

Keywords: Markov chain; Keywords: segmented labor market; unemployment; trajectories; Kohonen algorithm; Markov chain. (search for similar items in EconPapers)
Date: 1999
Note: View the original document on HAL open archive server: https://hal.science/hal-00134147
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Published in Fuzzy Economic Review, 1999, Vol IV, n° 2, pp.63-82

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