10.17889/E110655V1
Schuh, Rachel
Michaels, Ryan
Şahin, Ayşegül
Pugsley, Benjamin
Karahan, Fatih
Replication data for: Do Job-to-Job Transitions Drive Wage Fluctuations over the Business Cycle?
ICPSR Inter-university Consortium for Political and Social Research
2017
10.1257/aer.p20171076
10.1257/aer.p20171076
1
We investigate the importance of job-to-job (JJ) transitions for cyclical wage dynamics. By exploiting cross-state variation, we find that wage growth is tightly linked to variation in the JJ transition probability, and conditional on this, the job finding probability of the unemployed has no explanatory power. We investigate the robustness of our results to several caveats and find the result to hold. Finally, we discuss the implications of our findings for competing theories of wage dynamics.