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Labour Reallocation in Recession and Recovery: Evidence for Europe

Published online by Cambridge University Press:  01 January 2020

Eric Bartelsman ,
Paloma Lopez-Garcia  and
Giorgio Presidente
Eric Bartelsman*
Affiliation:
Vrije Universiteit Amsterdam; Tinbergen Institute
Paloma Lopez-Garcia*
Affiliation:
ECB
Giorgio Presidente*
Affiliation:
World Bank
*
e-mail: eric.bartelsman@vu.nl
e-mail: Paloma.Lopez-Garcia@ecb.europa.eu
e-mail: g.presidente@worldbank.com
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Abstract

This paper builds upon Bartelsman, Lopez-Garcia, and Presidente (2018) and provides empirical evidence on the cyclical features of labour reallocation in a sample of European Union (EU) countries over the Great Recession and the slow recovery. The analysis makes use of cross-country micro-aggregated data on firm dynamics and productivity from release 6 of the ECB CompNet database. While productivity-enhancing reallocation generally is counter-cyclical, with a stronger effect providing a silver lining in downturns, it was weaker during the Great Recession in the EU, but reverted back to more normal patters in the most recent years.

Keywords

Great Recessionreallocationemployment.E24E32J63O4
Type
Research Articles
Information
National Institute Economic Review , Volume 247 , February 2019 , pp. R32 - R39
Copyright
Copyright © 2019 National Institute of Economic and Social Research

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Footnotes

This paper was given at an RES Special Session in 2018: https://www.niesr.ac.uk/events/niesrs-special-sessions-res-2018-conference#131.

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