Structural/Frictional and Demand-Deficient Unemployment in Local Labor Markets
32 Pages Posted: 4 Jul 2004 Last revised: 2 Oct 2022
Date Written: July 1988
Abstract
This paper uses data on unemployment rates and job vacancy rates to measure structural/frictional and demand-deficient components of unemployment rate differences across local labor markets. Data on occupational and industrial distributions of unemployed workers and vacant jobs, as well as on local wages, recent sales growth, Unemployment Insurance, and demographics are then used to help account for these components of unemployment across local areas.
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