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- A couple of other items should be noted in comparing the public-use flow rates with those in the body of the paper. The time period of the public-use data is shorter than the time series employed in the rest of this paper. Public use J2J data is not available until the second quarter of 2000, with flows from non-employment not available until 2000.3. Net job flows here is the quarterly change in main job employment in each group that is due to either Web Appendix (Not intended for publication) workers changing employers or moving to and from non-employment (the sum of poaching and non-employment flows) and excludes the small component due to continuous dual job holders switching which job is the main source of earnings.
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- Because the job-to-job flows data employs the concept of a “dominant job†(i.e., maximal earnings job) each quarter, and considers transitions only between these dominant employers, some short job spells may be omitted. We employ a standard technique for dealing with these job-to-job flow rates, which views the observed transition rates as a proxy for the true underlying transition rates, and with can be recovered using some basic parametric assumptions. In our continuous time adjustment, we follow the Mukoyama (2014) approach to continuous time time adjustment, which in turn extends the adjustment method of Shimer (2012) to include job-to-job transitions. The question we address is whether our size results are an artefact of the quarterly aggregation inherent in the data that we are using. This additional set of specifications indicate that it does not.
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