Supplementary data for: "Understanding the Scarring Effect of Recessions"
Principal Investigator(s): View help for Principal Investigator(s) Christopher Huckfeldt, Cornell University
Version: View help for Version V2
| Name | File Type | Size | Last Modified |
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| R2-2022-HUCKFELDT | 03/08/2022 11:19:AM | ||
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application/x-stata-dta | 3.1 GB | 03/08/2022 07:33:AM |
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application/x-stata-dta | 2.7 GB | 03/08/2022 07:38:AM |
Project Citation:
Huckfeldt, Christopher. Supplementary data for: “Understanding the Scarring Effect of Recessions.” Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2022-03-08. https://doi.org/10.3886/E164221V2
Project Description
Summary:
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ABSTRACT: This paper documents that the earnings cost of job loss is concentrated
among workers who find reemployment in lower-skill occupations, and that
the cost and incidence of such occupation displacement is higher for
workers who lose their job during a recession. I propose a model where
hiring is endogenously more selective during recessions, leading some
unemployed workers to optimally search for reemployment in lower-skill
jobs. The model accounts for existing estimates of the size and
cyclicality of the present value cost of job loss, and the cost of
entering the labor market during a recession.
Scope of Project
Time Period(s):
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1968 – 1996
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