Research Discussion Paper – RDP 1999-02 Reservation Wages and the Duration of Unemployment

Contents

• Introduction
• The Australian Evidence
• The Data Source and Reservation Wages
• A Structural Model of Unemployment Duration
• Estimation Strategy
• Estimation Results
• Conclusions
• Appendix A: Data
• Appendix B: Results
• References

The authors would like to thank Andrea Findlay from the ABS for her help with the data. We are also grateful to David Gruen, Jacqui Dwyer and Geoffrey Shuetrim for their useful comments and drafting suggestions. Any errors are our own. The views expressed herein are those of the authors and do not necessarily reflect the views of the Reserve Bank of Australia.