Job Creation and Destruction

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Job Creation and Destruction is the culmination of a long, ongoingresearch program at the Center for Economic Studies. Using the most complete plant-level data source currently available--the Longitudinal Research Data constructed bythe Census Bureau--it focuses on the U.S. manufacturing sector from 1972 to 1988 anddevelops a statistical portrait of the microeconomic adjustments to the manyeconomic events that affect businesses and workers. The picture that emerges is oneof large, persistent, and highly concentrated gross job flows, with job destructiondominating the cyclical feaures of net job flows.The authors describe in detailthose characteristics that destroy and create jobs over time (including industry oforigin, wage payments, international trade exposure, factor intensity, size, age, and productivity performance), while also providing a broader measure of the processthat will be directly relevant to macroeconomists and policymakers.