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This paper examines the persistence and long-term impacts of early labor force experiences. The paper reports a rise in employment rates for a cohort of young men as they age, but points out that those persons with poor employment records early have comparatively poor records later. In order to asses the extent to which differences in later employment and wages are causally related to these earlier employment experiences, the methodologies of Heckman, Chamberlain, and others are extended to account for Markov type persistence and a straight forward estimation technique results. In addition, a Sims type causality test is used to measure the true impact of work experience on wages. The paper concludes that the effects of a period without work do not end with that spell. A teenager who spends time out of work in one year will probably spend less time working in the next than he would have had he worked the entire year. Furthermore, the lost work experience will be reflected in considerably lower wages. At the same time, the data provide no evidence that early unemployment sets off a vicious cycle of recurrent unemployment. The reduced employment effects die off very quickly. What appears to persist are effects of lost work experience on wages.
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Unemployment --- Underemployment --- France --- France
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Unemployment --- Underemployment --- Colombia --- Economic policy --- Unemployment - Colombia --- Underemployment - Colombia --- Colombia - Economic policy
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Unemployment insurance --- Underemployment --- Law and legislation --- law and legislation
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Underemployment. --- Globalization --- Economic policy. --- Equality. --- Distribution (Economic theory) --- Social aspects.
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This book explains the economic fundamentals featuring the latest employment statistics and report findings. It also explores the inadequacy of welfare support and reviews government and social sector strategies for tackling unemployment and underemployment. Finding a job, and indeed enough employment, can be hard work in itself.
Unemployment --- Underemployment --- Gig economy --- Social aspects --- Political aspects
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