Transition intensities in the Dutch labour market 1980-85

Jules Theeuwes, Marcel Kerkhofs, Maarten Lindeboom

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Using data from a set of retrospective questions from a Dutch national sample on individual labour market experiences in the period 1980-85, a three-state hazard model is estimated. Transitions are analysed between three labour market states: employment, unemployment and the out-of-the labour force, as well as between jobs (job mobility). Allowance is made for time-varying exogenous variables and for duration dependence. The estimated transition rates allow us to predict individual probabilities of participation in the labour force, of unemployment and employment, and to calculate expected lengths of stay in each of these labour market states as a function of personal characteristics and relevant demand conditions.

Original languageEnglish
Pages (from-to)1043-1061
Number of pages19
JournalApplied Economics
Issue number8
Publication statusPublished - 1990

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