Reynaga, Nikita Céspedes; Rendon, Silvio - Economics Department, State University of New … - 2012
We estimate Frisch elasticity in a labor market with high job turnover. In a context where only around 18% of the employed labor force has formal and stable jobs, we perform a fixed effects estimation as proposed by MaCurdy (1981) with a Heckman correction for selection into unemployment . We...