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Polarization and Persistence in the Japanese Labor Market

Hiroshi Teruyama () and Hiroyuki Toda
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Hiroshi Teruyama: Institute of Economic Research, Kyoto University
Hiroyuki Toda: Institute of Economic Research, Kyoto University, Institute of Social and Economic Research, Osaka University

No 957, KIER Working Papers from Kyoto University, Institute of Economic Research

Abstract: This study analyzes the persistence of regular and non-regular employment status in Japan for workers that change jobs. In particular, we investigate two hypotheses behind this persistence. The first is the dependence of the employment status in the current job on that in the previous job. The second is the dependence of the employment status in the current job on that in the initial job, which is called first job effects. While both types of dependence are empirically verified, the former is shown to be quantitatively more substantial. Therefore, the serially dependent structure of employment status matters critically to the segmentation of the labor market in Japan.

Keywords: dual labor market; non-regular workers; state dependence; cohort effects; first job effects; Japanese labor market (search for similar items in EconPapers)
JEL-codes: J42 J62 J70 C35 (search for similar items in EconPapers)
Pages: 47pages
Date: 2017-01
New Economics Papers: this item is included in nep-lab
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