Biases in the measurement of labour market dynamics
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Date
2009-08-05T10:03:46Z
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Abstract
This paper analyses worker transitions on the German labour market derived from different data sources. These include the two German micro data sets which provide high-frequency observations on workers'
employment and unemployment histories: the German Socioeconomic Panel (SOEP) and the IAB Employment Subsample (IABS). This exercise thus yields a comprehensive overview of German labour market
dynamics. Furthermore, it highlights the differences between the results
obtained from a retrospective survey, the SOEP, and a process-induced
administrative data set, the IABS. In particular, our analysis shows
which groups of the labour market are particularly affected by measurement error. We also show which role measurement issues play when establishing the stylised facts about the cyclicality of labour market dynamics. JEL classi cation: J63; J64; J62
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gross worker ows, IABS, SOEP