TY  - JOUR
AU  - Poterba,James M.
AU  - Summers,Lawrence H.
TI  - Adjusting the Gross Changes Data:  Implications for Labor Market Dynamics
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 1436
PY  - 1987
Y2  - March 1987
UR  - http://www.nber.org/papers/w1436
L1  - http://www.nber.org/papers/w1436.pdf
N1  - Author contact info:
James M. Poterba
Department of Economics
MIT, E52-350
50 Memorial Drive
Cambridge, MA  02142-1347
Tel: 617/253-6673
Fax: 617/258-7804
E-Mail: poterba@nber.org

Lawrence H. Summers
Harvard Kennedy School of Government
79 JFK Street
Cambridge, MA 02138
Tel: 617/495-9322
Fax: 617/495-0436
E-Mail: lhs@harvard.edu
AB  - This paper develops a procedure for adjusting the Current Population Survey gross changes data for the effects of reporting errors. The corrected data suggest that the labor market is much less dynamic than has frequently been suggested. Conventional measures sy understate the duration of unemployment by as much as eighty percent and overstate the extent of movement into and out ofthe labor force by several hundred percent. The adjusted data also throw demographic differences in patterns of labor market dynamics into sharp relief.
ER  -