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Regional Earnings and Unemployment--A Simultaneous Approach

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Author Info
Blackaby, D H
Manning, D N
Abstract

This paper presents an econometric analysis of the interaction between regional unemployment and regional earnings in Britain. A two-equation error-correction model of regional earnings and unemployment determination is estimated on data for 1972 to 1988 inclusive. The wage equation relates regional earnings to unemployment, long-term unemployment, and indices of living costs both including and excluding housing costs. The unemployment equation relates regional unemployment to earnings and real output. Higher relative unemployment and lower regional living costs both lead to lower regional earnings; however, increases in regional earnings and decreases in regional output lead to increased relative unemployment. Copyright 1992 by Blackwell Publishing Ltd

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Publisher Info
Article provided by Department of Economics, University of Oxford in its journal Oxford Bulletin of Economics & Statistics.

Volume (Year): 54 (1992)
Issue (Month): 4 (November)
Pages: 481-501
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Handle: RePEc:bla:obuest:v:54:y:1992:i:4:p:481-501

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  1. Wouter Vermeulen & Jos van Ommeren, 2006. "Compensation of regional unemployment in housing markets," CPB Discussion Papers 57, CPB Netherlands Bureau for Economic Policy Analysis. [Downloadable!]
    Other versions:
  2. Gavin Cameron & John Muellbauer, 2001. "Earnings, unemployment, and housing in Britain," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 16(3), pages 203-220. [Downloadable!]
  3. Gavin Cameron & John Muellbauer & Jonathan Snicker, 2001. "A Study in Structural Change: Relative Earnings in Wales Since the 1970s," Economics Series Working Papers 061, University of Oxford, Department of Economics. [Downloadable!]
    Other versions:
  4. Cameron, Gavin & Muellbauer, John, 2000. "Earnings, Unemployment, And Housing: Evidence From A Panel Of British Regions," CEPR Discussion Papers 2404, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  5. David Castro Lugo, 2006. "Curva salarial: una aplicación para el caso de México, 1993-2002," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 21(2), pages 233-273. [Downloadable!]
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This page was last updated on 2008-11-21.

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