Affiliation:
1. Institute for Employment Research (IAB) , Nuremberg
Abstract
Abstract
The occupational skill structure depends on the business cycle if employers respond to shortages of applicants during upturns by lowering their hiring standards. Devereux uses this implication to construct empirical tests for the notion of hiring standards adjustment (the so-called Reder hypothesis) and finds affirmative evidence for the U.S labour market. The authors replicate his analysis using German employment register data. Regarding the occupational skill composition they obtain somewhat lower but qualitatively similar responses to the business cycle despite of well known institutional differences between the U.S. and German labour market. The responsiveness of occupational composition wages to the business cycle is considerably lower in Germany.
Subject
General Economics, Econometrics and Finance
Reference20 articles.
1. Abraham, K., and Haltiwanger, J. (1995). Real Wages and the Business Cycle. Journal of Economic Literature, 33: 1215–1264. urlhttp://ideas.repec.org/a/aea/jeclit/v33y1995i3p1215-1264.html.
2. Amemiya, T. (1978). A Note on a Random Coefficients Model. International Economic Review, 19: 793–796. urlhttp://ideas.repec.org/a/ier/iecrev/v19y1978i3p793-96.html.
3. Bauer, T., Bender, S., and Bonin, H. (2007). Dismissal Protection and Worker Flows in Small Establishments. Economica, 74(296): 804–821. urlhttp://ideas.repec.org/a/bla/econom/v74y2007i296p804-821.html.
4. Bewley, T. (1999). Why Wages Don’t Fall During a Recession. Cambridge: Harvard University Press.
5. Card, D., and Hyslop, D. (1997). Does Inflation Grease the Wheels of the Labor Market? In C. Romer, and D. Romer (Eds.), Reducing Inflation: Motivation and Strategy, volume 30, pages 71–121. National Bureau of Economics Research Studies in Business Cycle.
Cited by
4 articles.
订阅此论文施引文献
订阅此论文施引文献，注册后可以免费订阅5篇论文的施引文献，订阅后可以查看论文全部施引文献