Economics Department Seminar Series - Niklas Engbom

Friday, November 11, 2022 at 3:10pm to 4:30pm

Rauch Business Center, 271

Friday, November 11th, 2022

Department of Economics

Faculty Research Presentation

Presenter: Niklas Engbom – NYU, Stern School of Business

Title: "Contagious Unemployment"

Time: 3:10 - 4:30PM EST

Location: RBC 271

 

Abstract: Recent micro evidence of how workers search for jobs is shown to have critical implications for the macroeconomic propagation of labor market shocks. Unemployed workers send over 10 times as many job applications in a month as their employed peers, but are less than half as likely per application to make a move. I interpret these patterns as the unemployed applying for more jobs that they are less likely to be a good fit for. During periods of high unemployment, it consequently becomes harder for firms to assert who is a good fit for the job. By raising the cost of recruiting, a short-lived adverse shock has a persistent negative impact on the job finding rate. I provide evidence that firms spend more time on recruiting when unemployment is high, quantitatively consistent with the theory.

 

Topic

Research

Target Audience

Graduate Students, Faculty

Department
Economics Department
Contact Information

Jee-Hun Choi, Economics Seminar Series Coordinator, jec720@lehigh.edu

Add to my calendar
Google Calendar iCal Outlook