Do the Unemployed Accept Jobs Too Quickly? A Comparison with Employed Job Seekers

31 Pages Posted: 4 Sep 2015

See all articles by Simonetta Longhi

Simonetta Longhi

University of Essex - Institute for Social and Economic Research (ISER); Institute for the Study of Labor (IZA); Tinbergen Institute

Abstract

This paper analyses differences between unemployed and employed job seekers in job finding rates and in the quality of the job found. Compared to the unemployed, employed job seekers have a smaller pool of job offers that they consider acceptable; this leads to lower job finding rates but better quality jobs. Differences in job quality are tiny when unobserved heterogeneity and selection into accepting a job are accounted for. Hence, differences are mostly due to behaviour of unemployed people rather than negative signaling or employer discrimination.

Keywords: on-the-job search, unemployment, job-finding rate, job quality

JEL Classification: J01, J20, J29, J62, J64

Suggested Citation

Longhi, Simonetta, Do the Unemployed Accept Jobs Too Quickly? A Comparison with Employed Job Seekers. IZA Discussion Paper No. 9112, Available at SSRN: https://ssrn.com/abstract=2655061

Simonetta Longhi (Contact Author)

University of Essex - Institute for Social and Economic Research (ISER) ( email )

Wivenhoe Park
Colchester CO4 3SQ
United Kingdom

Institute for the Study of Labor (IZA) ( email )

P.O. Box 7240
Bonn, D-53072
Germany

Tinbergen Institute ( email )

Burg. Oudlaan 50
Rotterdam, 3062 PA
Netherlands

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