New hires, vacancies and layoffs with recall

Thomas J Gjerde, Purdue University

Abstract

This study develops an "unrestricted" micro-model of firm behavior that endogenizes the time series interaction between some of the most common labor market variables: vacancies, new hires, temporary layoffs, recalls, permanent layoffs, vacancy duration, unemployment duration, the labor force, the total stock of jobs and labor hoarding. The purpose of the study is to contribute to the understanding of how these variables interact to produce observed employment dynamics. The study makes an empirical contribution to the literature by deriving an aggregate new hire series, a series for which no data is available. A theoretical contribution is the development of a model consistent with empirical work that suggests aggregate employment fluctuations can be driven by an increase in the pace of resource reallocation during a recession.

Degree

Ph.D.

Advisors

Barron, Purdue University.

Subject Area

Business costs|Labor economics|Economics

Off-Campus Purdue Users:
To access this dissertation, please log in to our
proxy server
.

Share

COinS