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On October 9, 2010, I posted some regional vacancy-unemployment data for the United States; see: Beveridge Curves for 36 U.S. Cities.

My measure of vacancies was the Conference Board's help-wanted index (HWI).  A colleague of  mine (Silvio Contessi) pointed me to a paper by Regis Barnichon (EL 2010) that identifies a major flaw in this data series. Barnichon summarizes the problem here:

The traditional measure of vacancy posting is the Conference Board Help-Wanted Index (HWI) that measures the number of help-wanted advertisements in 51 major newspapers. However, since the mid-1990s, this “print” measure of vacancy posting has become increasingly unrepresentative as advertising over the internet has become more prevalent. Instead, economists increasingly rely on the Job Openings and Labor Turnover Survey (JOLTS) measure of job openings. However, this measure is only available since December 2000 and cannot be used to contrast current labor market situations with past experiences.

In this paper, I build a vacancy posting index that captures the behavior of total—“print” and “online”—help-wanted advertising, by combining the print HWI with the online Help-Wanted Index published by the Conference Board since 2005. 

Here is how Barnichon's correction looks for the aggregate data.


That is, the secular decline (blue line) in the original HWI series is estimated to be entirely the consequence of a substitution away from print to electronic forms of job advertising.

With this in mind, I asked my tireless research assistant (Constanza Liborio) to recalculate our regional Beveridge curves using Barnichon's correction (for those interested, I can email you a file describing the exact procedure employed).

The regional vacancy data was purchased from the Conference Board (their Help Wanted Online data series), so unfortunately, I cannot make it available to you without their permission. I have permission to display the data, however. Here is what we get.