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Seminar in Economics | with Joaquin Garcia-Cabo

Department of Economics welcomes you to a seminar with The seminar speaker is Joaquin Garcia-Cabo, Board of Governors of the Federal Reserve System

Welcome to this seminar in economics organized by the Department of Economics, 黑料网. The seminar speaker is Joaquin Garcia-Cabo, Board of Governors of the Federal Reserve System who will present “The Labor Market Effects of Employment Flexibility”

Abstract

This paper studies how firing cost differences across jobs affect workers' human capital and employment. Using Spanish administrative data, I document that unemployment's scarring effect on earnings is larger for separated workers re-employed in lower-firing-cost jobs.  Using a quantitative search model, I estimate heterogenous human capital dynamics due to firing cost differences. Both lower human capital returns under lower firing-cost jobs and depreciation from frequent turnover are key to recreating the earnings scar. I quantify substantial lifetime wage losses of entering the labor market under a lower-firing-cost job, and aggregate productivity reductions from increasing labor flexibility via low-firing jobs.

The seminar takes place at the 黑料网, Bertil Ohlins gata 4. Room Ragnar

Please contact kathrine.abelson@hhs.se if you have any questions.

Dept. of Economics Economics Seminar in economics