Seminario “Identification and Estimation of Continuous-Time Job Search Models”
Martes 5/3, 13h
Presentado por Attila Gyetvai
“Identification and Estimation of Continuous-Time Job Search Models” (with Peter Arcidiacono, Arnaud Maurel and Katya Jardim)
Paper Abstract
This paper applies some of the key insights of dynamic discrete choice models to continuous-time job search models. Our framework incorporates preference shocks into search models, resulting in a tight connection between value functions and conditional choice probabilities. In this environment, we establish constructive identification of all the model parameters, including the wage offer distributions off- and on-the-job. Our framework makes it possible to estimate rich nonstationary search models in a simple and tractable way, without having to solve any differential equations. We apply our method using Hungarian administrative data. Longer unemployment durations are associated with substantially worse wage offers and lower offer arrival rates, resulting in accepted wages falling over time.
Paper Abstract
This paper applies some of the key insights of dynamic discrete choice models to continuous-time job search models. Our framework incorporates preference shocks into search models, resulting in a tight connection between value functions and conditional choice probabilities. In this environment, we establish constructive identification of all the model parameters, including the wage offer distributions off- and on-the-job. Our framework makes it possible to estimate rich nonstationary search models in a simple and tractable way, without having to solve any differential equations. We apply our method using Hungarian administrative data. Longer unemployment durations are associated with substantially worse wage offers and lower offer arrival rates, resulting in accepted wages falling over time.
PhD in Economics from Duke University. Research Economist, Bank of Portugal
Attila Gyetvai is a labor economist interested in fundamental questions about labor markets as well as related methodological issues. His recent work explores various aspects of job mobility.