IDEAS home Printed from https://ideas.repec.org/a/bla/scotjp/v54y2007i1p19-54.html
   My bibliography  Save this article

Inactivity And Labour Market Attachment In Britain

Author

Listed:
  • Allan Little

Abstract

This paper examines the transitions between the labour market and inactivity in Britain between 1995 and 2004. A substantial degree of behavioural heterogeneity exists between inactive individuals, and the social security system appears to influence both the timing and probability of moving between labour market states. The results presented here suggest that policy makers should not be misled by the term ‘hidden unemployment’, into thinking that substantial spare capacity exists on the periphery of the labour force. In light of recent proposals to reduce the number of Incapacity Benefit claimants, it is important to note a high degree of detachment among the long‐term sick and disabled, reinforced by duration dependence and poorer educational attainment.

Suggested Citation

  • Allan Little, 2007. "Inactivity And Labour Market Attachment In Britain," Scottish Journal of Political Economy, Scottish Economic Society, vol. 54(1), pages 19-54, February.
    • Handle: RePEc:bla:scotjp:v:54:y:2007:i:1:p:19-54
    DOI: 10.1111/j.1467-9485.2007.00403.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1467-9485.2007.00403.x
    Download Restriction: no
    File URL: https://libkey.io/10.1111/j.1467-9485.2007.00403.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. John Schmitt & Jonathan Wadsworth, 1993. "Job Search Activity and Changing Unemployment Benefit Entitlement: Pseudo-Panel Estimates for Britain," CEP Discussion Papers dp0148, Centre for Economic Performance, LSE.
    2. Mark E. Schweitzer, 2003. "Ready, willing, and able? measuring labour availability in the UK," Working Papers (Old Series) 0303, Federal Reserve Bank of Cleveland.
    3. Nickell, Stephen & Narendranathan, Wiji & Stern, Jon & Garcia, Jaime, 1989. "The Nature of Unemployment in Britain: Studies of the DHSS Cohort," OUP Catalogue, Oxford University Press, number 9780198285489.
    4. Green, Hazel & Connolly, Helen & Marsh, Alan & Bryson, Alex, 2001. "The medium-term effects of voluntary participation in ONE," LSE Research Online Documents on Economics 4998, London School of Economics and Political Science, LSE Library.
    5. Bryson, Alex & Kasparova, Diana, 2003. "Profiling benefit claimants in Britain: a feasibility study," LSE Research Online Documents on Economics 4991, London School of Economics and Political Science, LSE Library.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Myung Ki & Yvonne Kelly & Amanda Sacker & James Nazroo, 2013. "Poor health, employment transitions and gender: evidence from the British Household Panel Survey," International Journal of Public Health, Springer;Swiss School of Public Health (SSPH+), vol. 58(4), pages 537-546, August.
    2. Cagliesi, Maria & Hawkes, Denise & De Vita, Riccardo, 2012. "A multidimensional approach to worklessness: a matter of opportunities, social factors and individual’s idiosyncrasies," Greenwich Papers in Political Economy 7747, University of Greenwich, Greenwich Political Economy Research Centre.
    3. Yoshiyuki Tanaka, 0. "What prolongs the duration of NEET status for youth? Evidence from Japanese panel data," International Journal of Economic Policy Studies, Springer, vol. 0, pages 1-28.
    4. Ian Shuttleworth & Anne Green, 2011. "Spatial Mobility Intentions, the Labour Market and Incapacity Benefit Claimants," Urban Studies, Urban Studies Journal Limited, vol. 48(5), pages 911-927, April.
    5. Prodromídis Pródromos-Ioánnis, 2010. "Analysing Local Employment and Unemployment in Greece Under Conventional Zoning Regimes and Partitions Extracted from the Data," European Spatial Research and Policy, Sciendo, vol. 17(1), pages 61-91, June.
    6. Yoshiyuki Tanaka, 2020. "What prolongs the duration of NEET status for youth? Evidence from Japanese panel data," International Journal of Economic Policy Studies, Springer, vol. 14(2), pages 421-448, August.
    7. Christina Beatty & Steve Fothergill, 2023. "The persistence of hidden unemployment among incapacity claimants in large parts of Britain," Local Economy, London South Bank University, vol. 38(1), pages 42-60, February.
    8. Raquel Justo & Emilio Congregado & Concepción Román, 2021. "Becoming self-employed from inactivity: an in-depth analysis of satisfaction," Small Business Economics, Springer, vol. 56(1), pages 145-187, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Aysit Tansel & H. Mehmet Taşçı, 2010. "Hazard Analysis of Unemployment Duration by Gender in a Developing Country: The Case of Turkey," LABOUR, CEIS, vol. 24(4), pages 501-530, December.
    2. O'Leary, Nigel C. & Murphy, Philip D. & Latreille, Paul L. & Blackaby, David H. & Sloane, Peter J., 2005. "Accounting for Differences in Labour Market Outcomes in Great Britain: A Regional Analysis Using the Labour Force Survey," IZA Discussion Papers 1501, Institute of Labor Economics (IZA).
    3. Andreas Hornstein & Marianna Kudlyak & Fabian Lange, 2014. "Measuring Resource Utilization in the Labor Market," Economic Quarterly, Federal Reserve Bank of Richmond, issue 1Q, pages 1-21.
    4. Lammers, Marloes, 2014. "The effects of savings on reservation wages and search effort," Labour Economics, Elsevier, vol. 27(C), pages 83-98.
    5. Bruce Chapman & Matthew Gray, 2002. "Youth Unemployment: Aggregate Incidence and Consequences for Individuals," CEPR Discussion Papers 459, Centre for Economic Policy Research, Research School of Economics, Australian National University.
    6. Moffat, John & Yoo, Hong Il, 2015. "Who are the unemployed? Evidence from the United Kingdom," Economics Letters, Elsevier, vol. 132(C), pages 61-64.
    7. Aedin Doris;, 1999. "The Means Testing Of Benefits And The Labour Supply Of The Wives Of Unemployed Men: Results From A Mover-Stayer Model," Economics Department Working Paper Series n940999, Department of Economics, National University of Ireland - Maynooth.
    8. Burgess, Simon & Profit, Stefan, 2001. "Externalities in the matching of workers and firms in ritain," Labour Economics, Elsevier, vol. 8(3), pages 313-333, June.
    9. Ralf Wilke, 2009. "Unemployment Duration in the United Kingdom: An Incomplete Data Approach," Discussion Papers 09/02, University of Nottingham, School of Economics.
    10. Fernando Martins & Domingos Seward, 2019. "Into the heterogeneities in the Portuguese labour market: an empirical assessment," Working Papers w201908, Banco de Portugal, Economics and Research Department.
    11. Sloane, Peter J. & Gazioglu, Saziye, 1996. "Immigration and occupational status: A study of Bangladeshi and Turkish fathers and sons in the London labour market," Labour Economics, Elsevier, vol. 3(4), pages 399-424, December.
    12. Kerstin Bachberger-Strolz, 2020. "Profiling, Targeting, Algorithmen, künstliche Intelligenz – über die Irrwege einer Debatte in der Arbeitsmarktpolitik," Wirtschaft und Gesellschaft - WuG, Kammer für Arbeiter und Angestellte für Wien, Abteilung Wirtschaftswissenschaft und Statistik, vol. 46(3), pages 329-363.
    13. O'Connell, Philip J. & McGuinness, Seamus & Kelly, Elish, 2010. "A Statistical Profiling Model of Long-Term Unemployment Risk in Ireland," Papers WP345, Economic and Social Research Institute (ESRI).
    14. Murali Kuchibhotla & Peter F. Orazem & Sanjana Ravi, 2020. "The scarring effects of youth joblessness in Sri Lanka," Review of Development Economics, Wiley Blackwell, vol. 24(1), pages 269-287, February.
    15. Martin Feldstein & Daniel Altman, 2007. "Unemployment Insurance Savings Accounts," NBER Chapters, in: Tax Policy and the Economy, Volume 21, pages 35-64, National Bureau of Economic Research, Inc.
    16. Stefanie Behncke & Markus Frölich & Michael Lechner, 2009. "Targeting Labour Market Programmes - Results from a Randomized Experiment," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 145(III), pages 221-268, September.
    17. Latreille, Paul L. & Blackaby, David H. & Murphy, Philip D. & O'Leary, Nigel C. & Sloane, Peter J., 2006. "How Far and For How Much? Evidence on Wages and Potential Travel-to-Work Distances from a Survey of the Economically Inactive," IZA Discussion Papers 1976, Institute of Labor Economics (IZA).
    18. Marianna Kudlyak & Fabian Lange, 2014. "Measuring Heterogeneity in Job Finding Rates Among the Nonemployed Using Labor Force Status Histories," Working Paper 14-18, Federal Reserve Bank of Richmond.
    19. Paul Spicker, 2012. "Universal Credit: Simplification or personalisation?," Local Economy, London South Bank University, vol. 27(5-6), pages 449-454, August.
    20. Aedin Doris, 1999. "The Means Testing of Benefits and the Labour Supply of the wives of Unemployed Men: Results from a Fixed Effects Model," Economics Department Working Paper Series n930999, Department of Economics, National University of Ireland - Maynooth.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:scotjp:v:54:y:2007:i:1:p:19-54. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/sesssea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.