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Demand for LaborThe Neglected Side of the Market$
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Daniel S. Hamermesh and Corrado Giulietti

Print publication date: 2017

Print ISBN-13: 9780198791379

Published to Oxford Scholarship Online: March 2017

DOI: 10.1093/acprof:oso/9780198791379.001.0001

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Spectral Analysis of the Relation between Gross Employment Changes and Output Changes, 1958–1966

Spectral Analysis of the Relation between Gross Employment Changes and Output Changes, 1958–1966

Chapter:
(p.39) 2 Spectral Analysis of the Relation between Gross Employment Changes and Output Changes, 1958–1966
Source:
Demand for Labor
Author(s):

Daniel S. Hamermesh

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780198791379.003.0002

This study examines the relationship between output and flows of labor at seasonal frequencies using spectral analysis. The data are 9 years of monthly information on these quantities on each of a large number of small industries. The results show that employment flows respond more strongly to output fluctuations in industries where there is less firm-specific investment in human capital. This indicates the role of investment in altering the path of labor demand.

Keywords:   Output and employment, labor turnover, seasonal variation, time-series analysis, firm-specific capital

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