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Urban labour markets

In: Handbook of Regional and Urban Economics

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  • Crampton, Graham R.
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    Abstract

    The large research literature in urban labour market analysis is reviewed, with the emphasis ranging from attempts to model aggregate simultaneous interactions between residential and workplace location to more modern econometric work researching individual labour market behaviour. The job search process is central to the operation of the labour market, yet research is hampered by variable data availability and the limited observability of the search mechanism. Individual responses to major employer relocations have been recently studied, especially the substitutability of the move or quit decision, and relationships to race and gender.The variation of commuting patterns by income and professional status has also been analysed, and the functioning of the dispersed service-dominated modern urban labour market raises challenging research issues including willingness to search and commute over substantial areas, interacting with family circumstances and expected job security.The continued growth in all developed economies of female labour force participation and numbers of female-headed households have raised the importance of urban labour market research focusing on gender, including the economic understanding of patterns in the length of the female journey to work.Study of the influence of racial segregation on outcomes in the urban labour market has a longer history, with the "spatial mismatch hypothesis" having developed a large literature since the 1960s. With higher quality microdata and modern computational power and econometric techniques, statistical research has advanced considerably. Similar spatial relationships between race and labour market and commuting outcomes are also intrinsic to the European urban labour market, and have received particular attention from British, Dutch, Austrian and French researchers. The chapter concludes with an overview of contrasts between inter- and intraurban labour market adjustment processes.

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    This chapter was published in:

  • P. C. Cheshire & E. S. Mills (ed.), 1999. "Handbook of Regional and Urban Economics," Handbook of Regional and Urban Economics, Elsevier, edition 1, volume 3, number 3.
    This item is provided by Elsevier in its series Handbook of Regional and Urban Economics with number 3-39.

    Handle: RePEc:eee:regchp:3-39

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    Web page: http://www.elsevier.com/wps/find/bookseriesdescription.cws_home/BS_HE/description

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    Cited by:
    1. Alois Stutzer & Bruno S. Frey, . "Stress That Doesn't Pay: The Commuting Paradox," IEW - Working Papers 151, Institute for Empirical Research in Economics - University of Zurich.
    2. David C Maré & Wai Kin Choy, 2001. "Regional Labour Market Adjustment and the Movements of People: A Review," Treasury Working Paper Series 01/08, New Zealand Treasury.
    3. Wasmer, Etienne & Zenou, Yves, 2005. "Equilibrium Search Unemployment with Explicit Spatial Frictions," IZA Discussion Papers 1465, Institute for the Study of Labor (IZA).
    4. Dewey, Jim & Montes-Rojas, Gabriel, 2009. "Inter-city wage differentials and intra-city workplace centralization," Regional Science and Urban Economics, Elsevier, vol. 39(5), pages 602-609, September.
    5. Jorge González, 2008. "Commuting costs and labor force retirement," Working Papers. Serie AD 2008-19, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    6. Jordi Amorós, Catalina & Manjón Antolín, Miguel C., 2013. "The Determinants of Urban (Un)employment Duration: Evidence from Barcelona," Working Papers 2072/211799, Universitat Rovira i Virgili, Department of Economics.
    7. Zenou, Yves, 2007. "Search in Cities," CEPR Discussion Papers 6197, C.E.P.R. Discussion Papers.
    8. Papps, Kerry L. & Newell, James O., 2002. "Identifying Functional Labour Market Areas in New Zealand: A Reconnaissance Study Using Travel-to-Work Data," IZA Discussion Papers 443, Institute for the Study of Labor (IZA).
    9. Wasmer, Etienne & Zenou, Yves, 1999. "Does Space Affect Search? A Theory of Local Unemployment," CEPR Discussion Papers 2157, C.E.P.R. Discussion Papers.
    10. Clark, William A. V. & Huang, Youqin & Withers, Suzanne, 2003. "Does commuting distance matter?: Commuting tolerance and residential change," Regional Science and Urban Economics, Elsevier, vol. 33(2), pages 199-221, March.

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