1 Afdeling for Nationaløkonomi, Faculty of Social Sciences, Aarhus University, Aarhus University2 OECD3 Department of Economics and Business Economics, Aarhus BSS, Aarhus University4 Department of Economics and Business Economics, Aarhus BSS, Aarhus University
We study transitions out of temporary jobs using the waves 1994-1999 of the European Community Household Panel applying a discrete time duration model. Specifically, we use a multinomial logitmodel distinguishing between exits into permanent employment and non-employment. Two different specifications are presented, one does not account for unobserved heterogeneity while the other does. Unobserved heterogeneity is assumed to follow a discrete distribution. The competing risks model isestimated jointly for all EU Member States. The duration dependence parameters suggest that in general for EU as a whole, very short contracts provide higher chances of labour market exclusion especially for men. We discuss potential implications of our findings.
Labour Economics, 2005, Vol 12, Issue 4, p. 449-468
Mixed multinomial logit; Discrete duration data; Temporary jobs