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Do “good neighbors” enhance regional performances in including disabled people in the labor market? A spatial Markov chain approach

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Abstract

The purpose of this study was to examine whether the performance of Italian regions in providing employment of disabled people according to Law 68/99 can be affected by the performance of neighboring regions. Hence, we propose a two-step analysis focusing on Italian regions for the period 2000–2009. In the first step, we verify by means of Stochastic Frontier Approach that Central and Northern Italy regions are more efficient than Southern Italy ones in the matching process between demand and supply of jobs for disabled people. Then, the efficiency results are analyzed using a Markov Spatial Transition Matrix in order to provide insights into the transitions of regions between different efficiency levels, taking their local context into account. The results of this analysis show that good neighbors are important in promoting the improvement of regions’ performance. However, the effects produced by bad neighbors should not be underestimated, especially when they are concentrated in an area of the country and show a time-space persistence. The effect of a persistent dualism on the performance of Italian regions with respect to the application of Law 68/99 represents a problem for policy-makers. Hence, they must seriously consider it, especially when regions with low efficiency scores are surrounded by neighbors with poor efficiency score and show an unhealthy poorly performing labor market. Copyright Springer-Verlag Berlin Heidelberg 2014

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  • M. Agovino, 2014. "Do “good neighbors” enhance regional performances in including disabled people in the labor market? A spatial Markov chain approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(1), pages 93-121, August.
    • Handle: RePEc:spr:anresc:v:53:y:2014:i:1:p:93-121
    DOI: 10.1007/s00168-014-0619-z
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    2. Andrés Vallone & Coro Chasco, 2020. "Spatiotemporal methods for analysis of urban system dynamics: an application to Chile," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 64(2), pages 421-454, April.
    3. Massimiliano Agovino & Antonio Garofalo & Katia Marchesano, 2018. "The effects of employment promotion measures on labour market participation of disabled people: the case of Italy," Quality & Quantity: International Journal of Methodology, Springer, vol. 52(1), pages 135-155, January.
    4. Aniello Ferraro & Massimiliano Cerciello & Massimiliano Agovino & Antonio Garofalo, 2019. "The role of cultural consumption in reducing social exclusion: empirical evidence from Italy in a spatial framework," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 36(1), pages 139-166, April.
    5. Massimiliano Agovino & Agnese Rapposelli, 2017. "Macroeconomic impact of flexicurity on the integration of people with disabilities into the labour market. A two-regime spatial autoregressive analysis," Quality & Quantity: International Journal of Methodology, Springer, vol. 51(1), pages 307-334, January.

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    More about this item

    Keywords

    J14; J48; C23; C61;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J48 - Labor and Demographic Economics - - Particular Labor Markets - - - Particular Labor Markets; Public Policy

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