Non-stationary Job Search When Jobs Do Not Last Forever: A Structural Estimation to Evaluate Alternative Unemployment Insurance Systems

This paper considers a job search model where the environment is not constant throughout the unemployment spell and where jobs do not last forever. In this situation, reservation wages can be lower than they would be in a model without consideration of such separations, but also they can initially be higher precisely because of this non-stationarity of the model. Moreover, the time-dependence of reservation wages is stronger than it is when separations are not controlled for. The model is estimated structurally by using Spanish data for the period 1985-1996. The main finding is that, although at the beginning the decrease in reservation wages is the main determinant of the exit from unemployment, as time progresses the job offer arrival rate comes to be the only significant factor, given that acceptance probabilities become equal to one. The estimated parameters are used to evaluate the effect of different Unemployment Insurance designs on unemployment duration. Accordingly, one can draw the conclusion that a sufficiently decreasing pattern in unemployment benefits makes this duration to be 8.4% lower.Job Search, Nonstationarity, Unemployment, Separation probability, Structural estimation, Unemployment Insurance.

Retirement incentives, individual heterogeneity and labour transitions of employed and unemployed workers

Un informe que analiza la incidencia de las políticas públicas relevantes en edades próximas a la jubilación sobre las decisiones laborales de de trabajadores empleados y desempleados.Retirement, unemployment, incentives, Pension system, Unobserved heterogeneity, Spain

Aggregating opinions in non-uniform ordered qualitative scales

Producción CientíficaThis paper introduces a new voting system in the setting of ordered qualitative scales. The process is conducted in a purely ordinal way by considering an ordinal proximity measure that assigns an ordinal degree of proximity to each pair of linguistic terms of the qualitative scale. Once the agents assess the alternatives through the qualitative scale, the alternatives are ranked according to the medians of the ordinal degrees of proximity between the obtained individual assessments and the highest linguistic term of the scale. Since some alternatives may share the same median, an appropriate tie-breaking procedure is introduced. Some properties of the proposed voting system have been provided.Ministerio de Economía, Industria y Competitividad (Project ECO2016-77900-P

Unobserved Heterogeneity in Multi-Spell Discrete Time Duration Models

This paper considers the estimation of discrete time duration models. We highlight the enhance identification opportunities embedded in multiple spell data to separately identify the effect of duration dependence and individual time invariant unobserved heterogeneity. We consider two types of models: (i) random effects models specifying a mass point distribution for the unobserved heterogeneity; and (ii) fixed effects models in which the distribution of the effects is left unrestricted. The availability of multiple spell data allows us to consider this type of models, in the spirit of fixed effects discrete choice panel data models. We study the finite sample properties of different estimators for previous models by means of Monte Carlo simulations. Finally, as an empirical illustration, we estimate unemployment duration models using Spanish administrative data with information on the entire labor history of the individuals.Duration models; Discrete choice; Multiple spells; Unobserved heterogeneity; Unemployment.

Unemployment Duration among Immigrants and Natives: Unobserved Heterogeneity in a Multi-Spell Duration Model

This paper studies whether the unemployment dynamics of immigrants differ from those of natives, paying special attention to the impact of accounting for unobserved heterogeneity among individuals. Using a large administrative data set for Spain, we estimate multiple-spell discrete duration models which disentangle unobserved heterogeneity from duration dependence. Specifically, we estimate random effects models assuming that the distribution of the effects is discrete with finite support, and fixed effects models in which the distribution of the unobserved effects is left unrestricted. Our results show the importance of accounting for unobserved heterogeneity and that mistaken policy implications can be derived due to improper treatment of unmeasured variables. We find that lack of control for unobserved heterogeneity leads to the conclusion that immigrant males have a higher probability of leaving unemployment than natives and that the negative effect of unemployment benefits for immigrants lasts longer than for natives. Nonetheless, the estimates which do control for unobserved heterogeneity show the opposite results.Duration models; Discrete choice; Multiple spells; Unobserved heterogeneity; Unemployment; Immigration.

Unobserved heterogeneity in multi-spell discrete time duration model

This paper considers the estimation of discrete time duration models. We highlight the enhance identification opportunities embedded in multiple spell data to separately identify the effect of duration dependence and individual time invariant unobserved heterogeneity.Duration models, Discrete choice, Multiple spells, Unobserved heterogeneity, Unemployment.

Reseña de Giammatteo, Mabel; Gubitosi, Patricia & Parini, Alejandro (eds.) (2017): El español en la red

Reseña de: El español en la red MADRID-FRANKFURT IBEROAMERICANA-VERVUERT ISBN 978-84-16922-45-1 332 PÁGS