Keywords: Restructuring, unemployment, job flows
Abstract: This paper finds that the permanent job losses associated with industrial restructuring
have significantly boosted the variance of unemployment, causing it to rise much higher
in recessions than it would have without cyclically correlated restructuring. Moreover,
the influence of restructuring has increased noticeably in the 1980s and 1990s, acting
to increase economic instability at a time when other factors were operating to reduce it.
Full paper (368 KB PDF)
Home | FEDS | List of 2003 FEDS papers
To comment on this site, please fill out our feedback form.
Last update: November 18, 2003