Search Results

Author: Mustre-Del-Rio, Jose
Resulting in 4 citations.
1. Mustre-Del-Rio, Jose
Job Duration and the Cleansing and Sullying: Effects of Recessions 
Working Paper No. RWP 12-08, Federal Reserve Bank of Kansas City, December 2012.
Also: http://www.kansascityfed.org/publicat/reswkpap/pdf/rwp12-08.pdf
Cohort(s): NLSY79
Publisher: Federal Reserve Bank of Kansas City
Keyword(s): Business Cycles; Job Search; Job Tenure

Permission to reprint the abstract has not been received from the publisher.

Models of on-the-job search imply that recessions both cleanse and sully the labor market by hastening the termination of low quality matches and stifling the formation of better matches. This paper evaluates these predictions using data from the National Longitudinal Survey of Youth (NLSY) under the hypothesis that match duration reflects quality. The results provide no systematic evidence of the cleansing effect, but do support the sullying effect. This suggests that match quality is procyclical. As predicted by theory, this procyclicality is driven by the decline in quality of matches found through job-to-job transitions during recessions.
Bibliography Citation
Mustre-Del-Rio, Jose. "Job Duration and the Cleansing and Sullying: Effects of Recessions ." Working Paper No. RWP 12-08, Federal Reserve Bank of Kansas City, December 2012.
2. Mustre-Del-Rio, Jose
Job Duration over the Business Cycle
Journal of Money, Credit and Banking published online (7 October 2018): DOI: 10.1111/jmcb.12565.
Also: https://onlinelibrary.wiley.com/doi/10.1111/jmcb.12565
Cohort(s): NLSY79
Publisher: Wiley Online
Keyword(s): Business Cycles; Job Patterns; Wages

Permission to reprint the abstract has not been received from the publisher.

Evidence from the National Longitudinal Survey of Youth (NLSY) suggests that the cyclicality of job duration depends on the worker's prior and future employment status. For example, among matches formed with previously nonemployed workers, those that end with the worker returning to nonemployment display procyclical duration. In contrast, matches that end because the worker switches to another job have countercyclical duration. Moreover, differences in starting wages do not account for these patterns.
Bibliography Citation
Mustre-Del-Rio, Jose. "Job Duration over the Business Cycle." Journal of Money, Credit and Banking published online (7 October 2018): DOI: 10.1111/jmcb.12565.
3. Mustre-Del-Rio, Jose
Lessons for the Aggregate Labor Market from Employment and Turnover Patterns Across Workers
Ph.D. Dissertation, Department of Economics, University of Rochester, 2011
Cohort(s): NLSY79
Publisher: ProQuest Dissertations & Theses (PQDT)
Keyword(s): Economic Changes/Recession; Employment; Job Patterns; Job Turnover; Labor Supply; Labor Turnover

Permission to reprint the abstract has not been received from the publisher.

Economists often analyze economies populated by identical agents due to their tractability. However, this practice leads to discrepancies between individual and aggregate level observations. Most prominently, these models overlook large differences in behavior and outcomes across workers. This dissertation fills this gap by examining the implications of individual employment and turnover patterns for the aggregate labor market. The first chapter of this dissertation analyzes turnover differences across workers over the business cycle and their implications for overall job duration. Evidence from the National Longitudinal Survey of The Youth (NLSY) 1979-2006 suggests that average (overall) job duration is pro-cyclical, once controlling for worker composition. At the exit margin, jobs ending in recessions are of systematically shorter duration than jobs ending in booms. This result however is driven by high turnover workers who disproportionately account for exits in a recession. At the entry margin, jobs starting in recessions are expected to be of shorter duration. This result is not compositional. Recessions tend to increase the likelihood of any new job ending even when accounting for worker heterogeneity. The second chapter of this dissertation explores the implications of individual labor supply heterogeneity for the aggregate labor supply elasticity. It presents a heterogeneous agent economy with indivisible labor where agents differ in their disutility of labor and market skills. The model is estimated via indirect inference using observations on average employment and wage rates across individuals in the NLSY. The elasticity of aggregate employment in the model is 0.71, which is low compared to the literature. The results suggest that the previous literature generates large aggregate labor supply elasticities by ignoring individual labor supply differences. The third chapter is a natural extension of the second. It addresses what are the resulting aggregate e mployment fluctuations in an economy where agents differ in their labor supply. The results of this chapter suggest that allowing for individual labor supply heterogeneity has profound cyclical effects. The model predicts that aggregate employment fluctuations are small because individuals with very inelastic labor supply contribute disproportionately to overall employment over the business cycle
Bibliography Citation
Mustre-Del-Rio, Jose. Lessons for the Aggregate Labor Market from Employment and Turnover Patterns Across Workers. Ph.D. Dissertation, Department of Economics, University of Rochester, 2011.
4. Mustre-Del-Rio, Jose
Wealth and Labor Supply Heterogeneity
Review of Economic Dynamics 18,3 (July 2015): 619-634.
Also: http://www.sciencedirect.com/science/article/pii/S1094202514000519
Cohort(s): NLSY79
Publisher: Society for Economic Dynamics
Keyword(s): Heterogeneity; Labor Supply; Modeling; Wages; Wealth

Permission to reprint the abstract has not been received from the publisher.

This paper examines the importance of ex-ante heterogeneity for understanding the relationship between wealth and labor supply when markets are incomplete. An infinite horizon model is estimated where labor supply is indivisible and households are ex-ante heterogeneous in their labor disutility and market skills. The model replicates key features of the distribution of employment, wages, and wealth observed in the data. Importantly, it reverses the prediction that employment falls with wealth, a pervasive feature of models without ex-ante heterogeneity. A byproduct of the model's empirical performance is that it implies labor supply responses to unanticipated wages changes (e.g., Frisch elasticities) that are a half to two-thirds of those recovered from models with only ex-post heterogeneity.
Bibliography Citation
Mustre-Del-Rio, Jose. "Wealth and Labor Supply Heterogeneity." Review of Economic Dynamics 18,3 (July 2015): 619-634.