By Anne-Marie Mawhiney, Jane Pitblado
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In these instances, efficiency may not be improved by attempting to reduce the length of unemployment for it may only encourage poor job matching and greater turnover. 4 Another shortcoming of existing studies of labour adjustment is that they implicitly assume that the individual worker's objective is to maximize income. This is a standard assumption of neoclassical economists who tend to equate income with (indirect) utility. The assumption simplifies the analysis because the researcher can then easily compare pre-displacement earnings with post-adjustment earnings to approximate the cost (or benefit) of adjustment that is borne by the worker.
The students responded with an immense outpouring of support for the program and quickly put together a committee of nine students to see if they could obtain another local sponsor. m. that day, they had arranged a meeting with the mayor that was to become the first of many such meetings designed to garner the political support needed to enable the students to move the program to an alternate sponsor. It was an extremely tense time for everyone involved with the program. Many emotionally charged meetings were held.
6 percent). Three of these industries — retail trade, consumer services, and public administration — are significant employers of women. We focus on displaced women workers in a sample of observations on men and women for two reasons. First, the labour market imperfections referred to above require that we study adjustment of male and female workers separately. Second, the number of women in the sample is small enough to provide a very detailed account of their adjustment experience. Previous studies of permanent layoffs have emphasized the highly variable labour market outcomes of adjustment: unemployment duration tends to be longer for older and less educated workers, wage gains are registered for one-half of displaced workers whereas losses ensue for almost one-third (Picot and Pyper 1993).