Do Business Cycle Conditions at the Time of Labour Market Entry Affect Future Employment Prospects?
Authors:
Raaum, Oddbjørn and Knut Røed
Year:
2006
Reference:
The Review of Economics and Statistics
88(2) May, 193-210Summary
Labour market conditions at the time and place of potential entry into the labour market are shown to have a substantial and persistent impact on adult employment prospects. In-dividuals who face particularly depressed local labour markets when they graduate from secondary education, are – other things equal - subject to relatively high rates of non-employment during their whole prime-age work career. Building on a unique combination of micro- and macro data from Norway, we show that these effects are robust with respect to model specification and conditioning variables, and that they are not limited to indi-viduals with a particularly disadvantaged background.
JEL:
J64
Keywords:
Unemployment, Non-employment, Scarring
Project:
Oppdragsgiver: Norges forskningsrådOppdragsgivers prosjektnr.:
Frisch prosjekt: 1131 - Social background, early unemployment experiences and marginalisation
Contact:
knut.roed@frisch.uio.no
Financing:
Norges Forskningsråd