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Alternative Measures of the Average Duration of Unemployment

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  • Heisz, Andrew
  • Corak, Miles

Abstract

This paper examines the robustness of a measure of the average complete duration of unemployment in Canada to a host of assumptions used in its derivation. In contrast to the average incomplete duration of unemployment, which is a lagging cyclical indicator, this statistic is a coincident indicator of the business cycle. The impact of using a steady state as opposed to a non steady state assumption, as well as the impact of various corrections for response bias are explored. It is concluded that a non steady state estimator would be a valuable compliment to the statistics on unemployment duration that are currently released by many statistical agencies, and particularly Statistics Canada.

Suggested Citation

  • Heisz, Andrew & Corak, Miles, 1995. "Alternative Measures of the Average Duration of Unemployment," Analytical Studies Branch Research Paper Series 1995083e, Statistics Canada, Analytical Studies Branch.
    • Handle: RePEc:stc:stcp3e:1995083e
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    File URL: https://www150.statcan.gc.ca/n1/en/catalogue/11F0019M1995083
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    References listed on IDEAS

    as
    1. Baker, G M & Trivedi, P K, 1985. "Estimation of Unemployment Duration from Grouped Data: A Comparative Study," Journal of Labor Economics, University of Chicago Press, vol. 3(2), pages 153-174, April.
    2. Stephen W. Salant, 1977. "Search Theory and Duration Data: A Theory of Sorts," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 91(1), pages 39-57.
    3. Baker, Michael, 1992. "Unemployment Duration: Compositional Effects and Cyclical Variability," American Economic Review, American Economic Association, vol. 82(1), pages 313-321, March.
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    Cited by:

    1. Vinodrai, Tara, 2001. "A Tale of Three Cities: The Dynamics of Manufacturing in Toronto, Montreal, and Vancouver, 1976-1997," Analytical Studies Branch Research Paper Series 2001177e, Statistics Canada, Analytical Studies Branch.
    2. Furmanov, Kirill, 2009. "On Measurement of the Average Unemployment Duration using Russian Longitudinal Monitoring Survey data," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 14(2), pages 74-99.
    3. Baldwin, John R. & Peters, Valerie, 2001. "Training as a Human Resource Strategy: The Response to Staff Shortages and Technological Change," Analytical Studies Branch Research Paper Series 2001154e, Statistics Canada, Analytical Studies Branch.
    4. Brown, W. Mark & Vinodrai, Tara & Baldwin, John R., 2001. "Dynamics of the Canadian Manufacturing Sector in Metropolitan and Rural Regions," Analytical Studies Branch Research Paper Series 2001169e, Statistics Canada, Analytical Studies Branch.

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