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Author:Gangl, M.
Title:Institutions and the structure of labour market matching in the United States and West Germany
Journal:European sociological review
2004 : JUL, VOL. 20:3, p. 171-187
Index terms:Employment
Labour markets
USA
West Germany
Language:eng
Abstract:The impact of institutional factors on the structure of matching processes in external labour markets is examined in this article. The paper draws on 1984-1995 employment history data from the Survey of Income and Program Participation and the German Socio-Economic Panel and describes re-employment dynamics for unemployed workers in the USA and West Germany. Consistent with earlier research that has emphasized the strong skill stratification of the German labour market, the data show lower rates of occupational mobility among unemployed workers in Germany. Using a two-sided probit model, the study tests for two key generative mechanisms: more comprehensive labour market regulation potentially implying risk-averse hiring by employers, and more comprehensive social security that may induce more selective job search by workers.
SCIMA record nr: 257877
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