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Author(s): Paul Gregg, Rosanna Scutella and Jonathan Wadsworth
Title: Reconciling workless measures at the individual and household level. Theory and evidence from the United States, Britain, Germany, Spain and Australia
Abstract: Individual- and household-based jobless rates can offer conflicting signals about labour market performance. We outline a means of quantifying and decomposing the extent of any disparity (polarisation) between individual- and household-based measures and apply this to data from five countries over 25 years. Comparing actual household workless rates with counterfactuals based on a random distribution of employment, we find evidence of growing disparities between individual- and household-based non-employment measures in all five countries. The extent of this polarisation varies widely, but for each country, most of the discrepancies stem from within-household factors than from changing household composition.
Published: J Popul Econ (2010) 23 (1): 139-167
Keywords: Workless households - Inequality - Polarisation
Jel: J6