ABSTRACT

The probability of being in the states is a complex interplay of the probability of entering the states and the probability of exiting the states. Experience reduces overall unemployment as well as each category of unemployment—older workers have greater investments in firm-specific human capital so are less likely to quit and have greater value to their employer. The probability of being a job loser is still lower for foreign-born men than for native-born men in the early years after arrival, even after adjusting for unemployment duration. Living in a non-metropolitan area has little effect on the adjusted probabilities in any of the states of unemployment; non-metropolitan men are 21% more likely to be unemployed job leavers on average, but after adjusting for a higher duration of unemployment this differential falls to about 3%.