The recent decline in employment dynamics

Abstract

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Labor Reallocation, Employment, and Earnings: Vector Autoregression Evidence

“…All residual diagnostics (i.e., Ljung–Box statistics) for the RegARIMA models were satisfactory, and autocorrelation diagnostics indicate that all dynamic seasonality was removed. Consistent with the evidence in Hyatt and Spletzer (), the labor reallocation series appear to have a trend decline. Job creation is distinctly lower in the recession years of 2008 and 2009, when job destruction is distinctly higher.…”

“…Excess reallocation, called labor market churn, is procyclical and increases along with other measures of the health of the labor market . A number of studies including Davis and Haltiwanger (), Hyatt and Spletzer (), and Molloy et al . () present evidence that measures of aggregate labor reallocation have declined dramatically since the start of the millennium, and may also done so in previous decades.…”

“…Our empirical findings, and especially our tests for joint multivariate significance, can assist in the interpretation of previous empirical findings. Studies such as Davis and Haltiwanger (), Hyatt and Spletzer (), and Molloy et al . () consider the causes and consequences of different labor reallocation measures in separate empirical specifications.…”

“… See, among many others, Davis and Haltiwanger (), Faberman and Justiniano (), Hyatt and Spletzer (), and Molloy et al . () …”

Immigrants Equilibrate Local Labor Markets: Evidence from the Great Recession

“…Job creation, job destruction, and job-to-job transitions have all fallen markedly (Davis, Faberman and Haltiwanger 2012, Hyatt and Spletzer 2013). Additionally, fewer people are making long-distance moves (Molloy, Smith and Wozniak 2011), which is concerning because geographic labor mobility is a primary means of equilibrating differences across local labor markets (Blanchard and Katz 1992).…”