Dynamics of labor demand
Subtitle: evidence from plant-level observations and aggregate implications
By: Russel W. Cooper, John C. Haltiwanger, Jonathan Willis.
Contributors: Haltiwanger, John C.; Willis, Jonathan L.; National Bureau of Economic Research.
Series: NBER working paper series ;; working paper 10297; Working paper series (National Bureau of Economic Research : Online) ;; working paper no. 10297.
Publisher: National Bureau of Economic Research
Published: 2004
Place of publication: Cambridge, MA
Language: eng
Format: Electronic resource
Description: "This paper studies the dynamics of labor demand at the plant and aggregate levels.  The correlation of hours and employment growth is negative at the plant level and positive in aggregate time series.  Further, hours and employment growth are about equally volatile at the plant level while hours growth is much less volatile than employment growth in the aggregate data.  Given these differences, we specify and estimate the parameters of a plant-level dynamic optimization problem using simulated method of moments to match plant-level observations.  Our findings indicate that non-convex adjustment costs are critical for explaining plant-level moments on hours and employment.  Aggregation generates time series implications which are broadly consistent with observation.  Further, we find that a model with quadratic adjustment costs alone can also broadly match the aggregate facts"--National Bureau of Economic Research web site.
Notes: Also available in print.
Includes bibliographical references.
Title from PDF file as viewed on 1/25/2005.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.