%0 Report
        %A Cockx, Bart
%A Ghirelli, Corinna
        %T Scars of Recessions in a Rigid Labor Market
        %D 2015
        %8 2015 Feb
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 8889
        %U https://www.iza.org/index.php/publications/dp8889
        %X We study the impact of graduating in a recession in Flanders (Belgium), i.e. in a rigid labor market. In the presence of a high minimum wage, a typical recession hardly influences the hourly wage of low educated men, but reduces working time and earnings by about 4.5% up to twelve years after graduation. For the high educated, the working time is not persistently affected, but the penalty on the hourly wage (and earnings) increases with experience, and attains roughly -6% ten years after labor market entry. We also contribute to the literature on inference with few clusters.
        %K cluster robust
%K graduating
%K labor market rigidity
%K recession
%K scars
%K few clusters