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The duration of new job matches in east and west
BibTeX
@MISC{Discussion_theduration,
author = {Munich Discussion and Volkswirtschaftliche Fakultät and Ludwig-maximilians-universität München and Joachim Wolff},
title = {The duration of new job matches in east and west},
year = {}
}
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Abstract
This study compares the duration of new job matches in the east and west German labour market that formed between the start of the German Economic, Monetary and Social Union in July 1990 and December 2000. The study relies on job duration data drawn from the German Socio-economic Panel. It shows with non-parametric duration methods that job matches are less stable in east than in west Germany. However, this is not the case in the first years of the transition process, in which most likely the more profitable jobs were created and the best job matches were formed. Results form the non-parametric analysis but also from a proportional hazards model that controls for important covariates imply that the transition rates into alternative jobs and into unemployment vary with tenure in a way, which is in line with predictions of theories of job mobility such as the job specific capital hypothesis and matching theories. JEL classification: C41, J63 and P52
Keyphrases
new job match job match study relies jel classification profitable job important covariates social union proportional hazard model job mobility non-parametric duration method german economic first year west german labour market job specific capital hypothesis german socio-economic panel west germany transition process non-parametric analysis transition rate alternative job unemployment vary job duration data drawn matching theory
