Spatial dependence in local unemployment rates
AbstractBy explicitly considering the spatial dimension of local regional labor markets, we develop a simple dynamic model that explains the spatial correlation between unemployment rates. We then test this model by using UK local data. Our evidence shows a significant spatial dependence that has been growing over time and characterized by a low distance decay. Highly localized effects are explained by commuting flows. These results are consistent with the theoretical model. Copyright 2007, Oxford University Press.
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Bibliographic InfoArticle provided by Oxford University Press in its journal Journal of Economic Geography.
Volume (Year): 7 (2007)
Issue (Month): 2 (March)
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