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DP439
Gross Labour Market Flows in Europe: Some Stylized Facts
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Publication Date:
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August 1990
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Link to this Page:
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www.cepr.org/pubs/dps/DP439.asp
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The purpose of this paper is to establish some stylized facts on gross labor market flows - using mostly new data from France, Germany, the United Kingdom and the United States - which any theory of unemployment ought to explain. The regularities on gross labor market flows that we isolate are inconsistent with a large class of theories of labor markets and business cycles. Key results are: flows into and out of unemployment are countercyclical; these flows move tightly together, over both the cycle and the long run; the bulk of exits from unemployment actually represent job findings rather than exits from the labor force; employment inflows and outflows are procyclical.
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