This paper uses an integrated employer-employee data-set to answer two key questions: (i) What is the equilibrium amount of worker reallocation? (ii) How much does firm-level job reallocation affect worker reallocation? About 26% of workers who had previously exhibited a substantial degree of...

A two-sector model with sector-dependent disability risks is presented. Working in the low-risk sector requires skills that can be obtained by investments in education. Moral hazard precludes full insurance. The labour force allocation is responsive to the incentives created by a social...

Job security provisions are frequently cited as inhibiting the functioning of labour markets in Europe. However, as with many forms of non-price regulation, it is difficult to assess how tightly these regulations bind and influence labour market outcomes. We use an industry-country panel of OECD...