Excess Worker Reallocation

Job and Worker Reallocation in German Establishments: The Role of Employers’ Wage Policies and Labour Market Institutions

Using a large linked employer-employee data set, this paper studies the relationship between job reallocation, worker reallocation and the flexibility of wages in western German manufacturing. Using the plant-specific residual wage dispersion as a proxy for wage flexibility, we find that more flexible wages are associated with less job reallocation due to demand shocks being absorbed by wage ra...

Intra-Industry Trade and Labour-Market Adjustment: A Reassessment Using Data on Individual Workers

We re-examine the relationship between intra-industry trade and labour reallocation, using individual-level data on manufacturing worker moves in the United Kingdom. The contribution of this analysis is twofold. First, we estimate the impact of intra-industry trade on worker moves between occupations as well as between industries. Second, we run individual-level regressions that allow us to con...

A Model of Job and Worker Flows

We develop an equilibrium search model that incorporates job-to-job transitions, exhibits instances of replacement hiring, and conceptually distinguishes between job and worker flows. We propose a notion of competitive equilibrium for random matching environments and study the extent to which it achieves an efficient allocation of resources. The model can be used to study how the permanent inco...

Worker turnover and job reallocation in Taiwanese manufacturing

Aggregate worker reallocation and occupational mobility in the United States: 1971-2000