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Job Creation in Italy: Geography, Determinants and Perspectives

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  • Giovanni Peri

    ()
    (Bocconi University)

  • Alejandro Cunat

    ()
    (London School of Economics)

Abstract

The extremely large disparities in employment rates across Italian regions, and the bad performance of the Italian economy in terms of job creation in the 80's and early 90's make job creation a top-priority in the economic policy agenda. This paper uses data on employment from 784 Local Labor Systems (LLS's) covering the whole Italian territory to analyze job creation and its covariates for the 1981-1996 period. Local agglomeration economies, in particular input-output linkages, social characteristics, in particular the crime rate, and infrastructure growth are found to be important determinants of employment growth across Italian LLS's. Using these estimates and data relative to 1996, we assess the potential for job creation in the LLS's for the next decade. The Northeast still proves to be the area with strongest potentials, while in the South, Abruzzi and Northern Campania are the areas best equipped for filling their gap with the North.

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Bibliographic Info

Article provided by GDE (Giornale degli Economisti e Annali di Economia), Bocconi University in its journal Giornale degli Economisti e Annali di Economia.

Volume (Year): 60 (2001)
Issue (Month): 1 (June)
Pages: 43-74

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Handle: RePEc:gde:journl:gde_v60_n1_p43-74

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Related research

Keywords: local agglomeration economies; employment growth; Italian regions;

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References

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  1. Peri, Giovanni & Cuñat, Alejandro, 2001. "Job creation in Italy : geography, determinants and perspectives," HWWA Discussion Papers 133, Hamburg Institute of International Economics (HWWA).
  2. Paul Krugman & Anthony J. Venables, 1995. "Globalization and the Inequality of Nations," NBER Working Papers 5098, National Bureau of Economic Research, Inc.
  3. Lucio Picci, 1999. "Productivity and Infrastructure in the Italian Regions," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 58(3-4), pages 329-353, December.
  4. David Aschauer, 1988. "Is public expenditure productive?," Staff Memoranda 88-7, Federal Reserve Bank of Chicago.
  5. Paci, Raffaele & Pigliaru, Francesco, 1997. "Structural change and convergence: an Italian regional perspective," Structural Change and Economic Dynamics, Elsevier, vol. 8(3), pages 297-318, August.
  6. Marimon, Ramon & Zilibotti, Fabrizio, 1998. "'Actual' versus 'virtual' employment in Europe Is Spain different?," European Economic Review, Elsevier, vol. 42(1), pages 123-153, January.
  7. Guy Dumais & Glenn Ellison & Edward L. Glaeser, 2002. "Geographic Concentration As A Dynamic Process," The Review of Economics and Statistics, MIT Press, vol. 84(2), pages 193-204, May.
  8. Jonathan Temple & Paul A. Johnson, 1998. "Social Capability And Economic Growth," The Quarterly Journal of Economics, MIT Press, vol. 113(3), pages 965-990, August.
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Citations

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Cited by:
  1. Ehrl, Philipp, 2013. "Agglomeration economies with consistent productivity estimates," Regional Science and Urban Economics, Elsevier, vol. 43(5), pages 751-763.
  2. Peri, Giovanni & Cuñat, Alejandro, 2001. "Job creation in Italy : geography, determinants and perspectives," HWWA Discussion Papers 133, Hamburg Institute of International Economics (HWWA).
  3. Julia Kowalewski, 2013. "Inter-industrial Relations and Sectoral Employment Development in German Regions," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 233(4), pages 486-504, July.
  4. Kowalewski, Julia, 2012. "Inter-industrial relations and sectoral employment development in German regions," HWWI Research Papers 127, Hamburg Institute of International Economics (HWWI).
  5. Karoly Fazekas & Jeno Koltay (ed.), 2004. "The Hungarian Labour Market 2004," The Hungarian Labour Market Yearbooks, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences, number 2004, January.
  6. Karoly Fazekas, 2003. "Effects of foreign direct investment on the performance of local labour markets - The case of Hungary," Budapest Working Papers on the Labour Market 0303, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences.

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