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Is There Chronic Excess Supply of Labor? Designing a Statistical Test / Richard E. Quandt, Harvey S. Rosen.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Quandt, Richard E.
Contributor:
National Bureau of Economic Research.
Rosen, Harvey S.
Series:
Technical Working Paper Series (National Bureau of Economic Research) no. t0046.
NBER technical working paper series no. t0046
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 1985.
Summary:
In this paper we present and implement a statistical test of the hypothesis that the labor market has chronic excess supply. The procedure is to estimate a disequilibrium labor market model, and construct a test statistic based on the unconditional probability that there is excess supply each period. We find that the data reject the hypothesis of chronic excess supply. Hence, one cannot assume that all observations lie on the demand curve.
Notes:
Print version record
April 1985.

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