AEAweb: Journal Article Full-Text Access
Note to Institutional Subscribers: If you normally access AEAweb journal content via your university or firm's subscription and receive this page, please click
here. The most likely causes of this are a recently changed IP address, a new subscription, or the renewal of a lapsed institutional subscription. This page will stop appearing on the next synchronisation of the document delivery and authentication systems.
You may also click here for pay-per-view, Athens login and other access options .
AEA Members, please click the button below to access the login form:
von Wachter, Till, and
Stefan Bender. 2006. "In the Right Place at the Wrong Time: The Role of Firms and Luck in Young Workers."
,
96(5): 1679-1705.
Show Article Details
DOI: 10.1257/aer.96.5.1679
Abstract:We examine administrative data on young German workers and their employers to
study the long-term effects of an early career job loss. To account for nonrandom
sorting of workers into firms with different turnover rates and for selective job
mobility, we use changes over time in firm- and age-specific labor demand as an
instrument for displacement. We find that wage losses of young job losers are
initially 15 percent, but drop to zero within five years. Only workers leaving very
large establishments suffer persistent losses. A comparison of estimators implies
that initial sorting, negative selection, and voluntary job mobility biases ordinary
least squares estimates toward finding permanent negative effects of early displacements.
(JEL J13, J23, J24, J62, J63, M53)
Additional links:
Data Availability |
Link to Additional Materials
Authors:
von Wachter, Till
Bender, Stefan
JEL Classifications:
:
None
If you are an AEA member and do not have an AEAweb login, please
click here.
If you would like to become an AEA member, please see our
membership page.
If you arrived at this page via a journal article link, you will be redirected to the pdf after successful login.
If your first login attempt fails, and you have recently signed up for access or have recently changed your password, you may need to wait a few moments and try again.
Please contact us at
notify@aeaweb.org with any problems or questions.
Contents of Current Issues
Spring 2013 JEP
May 2013 AEJ: Policy
May 2013 AEJ: Micro
April 2013 AER
April 2013 AEJ: Macro
April 2013 AEJ: Applied
March 2013 JEL
Virtual Field Journals
In the News:
The Huffington Post reports on a study addressing the influence of lifestyle factors on shrinking height in the elderly published in the April issue of AEJ: Applied Economics.
Michael Frakes' (Cornell Law School) article on medical liability standards from the February issue of the American Economic Review was discussed as part of a Bloomberg opinion piece on medical malpractice.
Slate Magazine recently discussed former AEA president, George Akerlof's classic behavioral research and a 2012 American Economic Review study conducted by German and Swiss researchers to explore how gifting can motivate some employees more than cash incentives do in the workplace.
Contact Us
