Where Did They Go?
20 Pages Posted: 21 Jan 2002
Date Written: January 2002
We study individual job-separations and their associated destination states for all individuals in the private sector in Denmark for the period 1980 to 1995 and account for the cyclical flows. We find that individual and workplace characteristics as well as business cycle effects are important in explaining the individual behavior. In policy simulations we look at the impact on individual transitions. We find that structural and growth policies have different implications for the economy. Policy interventions with the purpose of preventing firm closures are argued to be inefficient.
Keywords: Business Cycles, Job Separations, Transition Probabilities
JEL Classification: J63, J65, E24
Suggested Citation: Suggested Citation