This Note presents an analysis of state labor market cycles as represented by the annual average monthly unemployment rate. It discusses the implications both of long-run differences in the level and amplitude of the state cycles and of short-run cyclic variation for the annual incidence and duration of unemployment and for wages and hours of work. The study's findings indicate that the employment environment is not stable. There is enormous variation across areas within the economy at any given time, and the situation in any particular area may change dramatically over time. The degree to which it changes and the environment in which the worker is placed are significantly different in different areas.
This report is part of the RAND Corporation Note series. The note was a product of the RAND Corporation from 1979 to 1993 that reported other outputs of sponsored research for general distribution.
This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited; linking directly to this product page is encouraged. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial purposes. For information on reprint and reuse permissions, please visit www.rand.org/pubs/permissions.
The RAND Corporation is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.