Replication Code for The Costs of Job Displacement over the Business Cycle and Its Sources: Evidence from Germany
Principal Investigator(s): View help for Principal Investigator(s) Johannes Schmieder, Boston University; Till von Wachter, UCLA; Joerg Heining, Institute for Employment Research (IAB)
Version: View help for Version V1
| Name | File Type | Size | Last Modified |
|---|---|---|---|
| Replication Code | 04/20/2023 08:00:PM |
Project Citation:
Schmieder, Johannes, von Wachter, Till, and Heining, Joerg. Replication Code for The Costs of Job Displacement over the Business Cycle and Its Sources: Evidence from Germany. Nashville, TN: American Economic Association [publisher], 2023. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2023-04-25. https://doi.org/10.3886/E182606V1
Project Description
Summary:
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Replication Code for The Costs of Job Displacement over the Business Cycle and Its Sources: Evidence from Germany
We document the sources behind the costs of job loss over the busi-
ness cycle using administrative data from Germany. Losses in annual
earnings after displacement are large, persistent, and highly cyclical,
nearly doubling in size during downturns. A large part of the long-term
earnings losses and their cyclicality is driven by declines in wages. Key
to these long-lasting wage declines and their cyclicality are changes in
employer characteristics, as displaced workers switch to lower-paying
firms. Changes in characteristics of workers or displacing firms explain
little of the cyclicality, though nonemployment durations correlated with
losses in employer effects play a role.
Scope of Project
Subject Terms:
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Job Loss;
Wages;
Establishment Wage Premia;
AKM Model
JEL Classification:
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E32 Business Fluctuations; Cycles
J31 Wage Level and Structure; Wage Differentials
J42 Monopsony; Segmented Labor Markets
J62 Job, Occupational, and Intergenerational Mobility; Promotion
J63 Labor Turnover; Vacancies; Layoffs
J64 Unemployment: Models, Duration, Incidence, and Job Search
J65 Unemployment Insurance; Severance Pay; Plant Closings
E32 Business Fluctuations; Cycles
J31 Wage Level and Structure; Wage Differentials
J42 Monopsony; Segmented Labor Markets
J62 Job, Occupational, and Intergenerational Mobility; Promotion
J63 Labor Turnover; Vacancies; Layoffs
J64 Unemployment: Models, Duration, Incidence, and Job Search
J65 Unemployment Insurance; Severance Pay; Plant Closings
Geographic Coverage:
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Germany
Time Period(s):
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1975 – 2009
Universe:
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German Social Security Records
Data Type(s):
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program source code
Collection Notes:
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This contains the replication code for the analysis.
We use extracts from the Integrated Employment Biographies (IEB) database prepared by IAB. Access to this data
is regulated by Section 75 of the German Social Code (Book X). Please contact the Research Data Center of the IAB for further information.
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