Identifying the Substitution Effect of Temporary Agency Employment

This paper fills a gap in the literature by investigating whether temporary agency employment substitutes regular employment. To take into account the interaction between the two employment forms, we identify a SVAR model with correlated innovations by volatility regimes. We show that a positive shock to temporary agency employment increases overall employment, but also leads to substitution of regular jobs.

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Year of publication:	2012-04
Authors:	Jahn, Elke J. ; Weber, Enzo
Institutions:	Institute for the Study of Labor (IZA)
Subject:	temporary agency employment \| substitution effect \| Germany

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Extent:	application/pdf
Series:	IZA Discussion Papers.
Type of publication:	Book / Working Paper
Notes:	Number 6471 10 pages
Classification:	C32 - Time-Series Models ; J21 - Labor Force and Employment, Size, and Structure ; J41 - Contracts: Specific Human Capital, Matching Models, Efficiency Wage Models, and Internal Labor Markets
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10011279370