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Is Unemployment Really Scarring? Effects of Unemployment Experiences on Wages
Abstract
Joblessness leaves permanent scars on individuals. They not only lose income during periods of joblessness they are also further scarred by these experiences when they find employment. A spell of unemployment is found to carry a wage penalty of about 6% on re‐entry in Britain, and after three years, they are earning 14% less compared to what they would have received in the absence of unemployment. The scars are also carried into their second employment spell. The first spell of joblessness is found to cause the most damage. Redundancy seems to be less stigmatising.
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Citations
Cited by
Temporary Jobs: Stepping Stones or Dead Ends?
Booth, A. L., Francesconi, M., & Frank, J. (2002) · The Economic Journal · doi:10.1111/1468-0297.00043 · Cited by 1,114
The wage scar from male youth unemployment
Gregg, P., & Tominey, E. (2005) · Labour Economics · doi:10.1016/j.labeco.2005.05.004 · Cited by 485
(2010) · OECD Social, Employment and Migration Working Papers · doi:10.1787/5kmh79zb2mmv-en · Cited by 298
Is There Less Discrimination in Occupations Where Recruitment Is Difficult?
Baert, S., Cockx, B., Gheyle, N., & Vandamme, C. (2015) · ILR Review · doi:10.1177/0019793915570873 · Cited by 243
Gassman-Pines, A., Gibson-Davis, C. M., & Ananat, E. O. (2015) · Child Development Perspectives · doi:10.1111/cdep.12137 · Cited by 40
Metadata
- Authors
- Arulampalam, W.
- Venue
- The Economic Journal
- Publisher
- Oxford University Press (OUP)
- Published
- 2001-11-01
- Volume
- 111
- Issue
- 475
- Pages
- F585-F606
- ISSN
- 0013-0133 (ISSN-L)
- 1468-0297
- OpenAlex
- W2013750717
- Cited by
- 545
- References
- 0
- FWCI
- 24.16
- Type
- journal article
- Language
- en
- Open access
- closed
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