Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality

This paper discusses a set of statistics for examining labor market dynamics in developing countries and offers a simple search model that informs their interpretation. It then employs panel data from Argentina, Brazil and Mexico to generate a set of preliminary stylized facts about patterns of sect...

Full description

Bibliographic Details
Main Authors: Bosch, Mariano, Maloney, William F.
Format: Journal Article
Language:EN
Published: 2012
Subjects:
Online Access:http://hdl.handle.net/10986/5436
id okr-10986-5436
recordtype oai_dc
spelling okr-10986-54362021-04-23T14:02:22Z Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality Bosch, Mariano Maloney, William F. Labor Force and Employment, Size, and Structure J210 Unemployment: Models, Duration, Incidence, and Job Search J640 Economic Development: Human Resources Human Development Income Distribution Migration O150 Formal and Informal Sectors Shadow Economy Institutional Arrangements O170 This paper discusses a set of statistics for examining labor market dynamics in developing countries and offers a simple search model that informs their interpretation. It then employs panel data from Argentina, Brazil and Mexico to generate a set of preliminary stylized facts about patterns of sectoral transition and duration. Finally, it nests two competing views of the informal sector within the model and uses variation in the statistics across age and the business cycle to help discriminate between them. The results suggest that a substantial part of the informal sector, particularly the self-employed, corresponds to voluntary entry, although informal salaried work may correspond more closely to the standard queuing view, especially for younger workers. 2012-03-30T07:32:49Z 2012-03-30T07:32:49Z 2010 Journal Article Labour Economics 09275371 http://hdl.handle.net/10986/5436 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language EN
topic Labor Force and Employment, Size, and Structure J210
Unemployment: Models, Duration, Incidence, and Job Search J640
Economic Development: Human Resources
Human Development
Income Distribution
Migration O150
Formal and Informal Sectors
Shadow Economy
Institutional Arrangements O170
spellingShingle Labor Force and Employment, Size, and Structure J210
Unemployment: Models, Duration, Incidence, and Job Search J640
Economic Development: Human Resources
Human Development
Income Distribution
Migration O150
Formal and Informal Sectors
Shadow Economy
Institutional Arrangements O170
Bosch, Mariano
Maloney, William F.
Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality
relation http://creativecommons.org/licenses/by-nc-nd/3.0/igo
description This paper discusses a set of statistics for examining labor market dynamics in developing countries and offers a simple search model that informs their interpretation. It then employs panel data from Argentina, Brazil and Mexico to generate a set of preliminary stylized facts about patterns of sectoral transition and duration. Finally, it nests two competing views of the informal sector within the model and uses variation in the statistics across age and the business cycle to help discriminate between them. The results suggest that a substantial part of the informal sector, particularly the self-employed, corresponds to voluntary entry, although informal salaried work may correspond more closely to the standard queuing view, especially for younger workers.
format Journal Article
author Bosch, Mariano
Maloney, William F.
author_facet Bosch, Mariano
Maloney, William F.
author_sort Bosch, Mariano
title Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality
title_short Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality
title_full Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality
title_fullStr Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality
title_full_unstemmed Comparative Analysis of Labor Market Dynamics Using Markov Processes : An Application to Informality
title_sort comparative analysis of labor market dynamics using markov processes : an application to informality
publishDate 2012
url http://hdl.handle.net/10986/5436
_version_ 1764395047532363776