%0 Report
        %A Fiaschi, Davide
%A Tealdi, Cristina
        %T A General Methodology to Measure Labour Market Dynamics
        %D 2021
        %8 2021 Apr
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 14254
        %U https://www.iza.org/publications/dp14254
        %X We propose a general methodology to measure labour market dynamics, inspired by the search and matching framework, based on the estimate of the transition rates between labour market states. We show how to estimate instantaneous transition rates starting from discrete time observations provided in longitudinal datasets, allowing for any number of states. We illustrate the potential of such methodology using Italian labour market data. First, we decompose the unemployment rate fluctuations into inflow and outflow driven components; then, we evaluate the impact of the implementation of a labour market reform, which substantially changed the regulations of temporary contracts.
        %K Markov process in continuous time
%K instantaneous transition rates
%K labour market flows
%K labour market forecasting
%K policy evaluation