Underemployment and Queues for Full Time Jobs: Evidence from Chile
Documento de trabajo
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This article develops a double selection model in order to test whether part-time workers are excluded from full time jobs (underemployed) or choose to put themselves into distinct labour market segments. Results show statistical support for both exclusion and self-selection in the labour market. Additionally, they suggest that underemployment is mostly driven by the structural heterogeneity of the Chilean economy with human capital variables playing a secondary role. Wage equations are estimated as to further characterize each group; they show that the same economic segments that hire more full time workers pay wage premiums, a result consistent with the hypothesis of structural heterogeneity.
Quote ItemSeries Documentos de Trabajo No. 432, pp. 1 - 32, Octubre, 2016
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