Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/78638
Authors: 
Nordström Skans, Oskar
Lindqvist, Linus
Year of Publication: 
2005
Series/Report no.: 
Working Paper, IFAU - Institute for Labour Market Policy Evaluation 2005:17
Abstract: 
The paper uses a quasi-experimental situation to analyze the effects of career interruptions on future labor market outcomes. Data are generated by a Swedish program that granted career breaks to applicants until funds where exhausted. Comparing approved and declined (due to lack of funds) applications allows us to derive “pure” effects of interrupted career that are not confounded by selection or omitted variables. The results show no significant effects on working hours but give some support for increased retirement probabilities among the oldest workers. The average wage effect is negative and in the order of 3 percent 1–2 years after the break. Further evidence suggests that one reason for the large negative wage effects may be related to changes in jobs and tasks.
Subjects: 
Career interruptions
labor supply
wages
natural experiment
JEL: 
J22
J24
J26
J31
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.