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Home Ownership, Job Duration, and Wages

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Author Info
Jakob Roland Munch
Michael Rosholm
Michael Svarer () (Department of Economics, University of Aarhus, Denmark)

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Abstract

We investigate the impact of home ownership on individual job mobility and wages in Denmark. We find that home ownership has a negative impact on job-to-job mobility both in terms of transition into new local jobs and new jobs outside the local labour market. In addition, there is a clear negative effect of home ownership on the unemployment risk and a positive impact on wages. These results are robust to different strategies for correcting for the possible endogeneity of the home owner variable.

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Publisher Info
Paper provided by School of Economics and Management, University of Aarhus in its series Economics Working Papers with number 2006-06.

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Length: 24
Date of creation: 02 May 2006
Date of revision:
Handle: RePEc:aah:aarhec:2006-06

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Web page: http://www.econ.au.dk/afn/

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Related research
Keywords: Home ownership; job mobility; duration model;

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Find related papers by JEL classification:
J6 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies
R2 - Urban, Rural, and Regional Economics - - Household Analysis

This paper has been announced in the following NEP Reports:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Svarer, Michael & Rosholm, Michael & Munch, Jakob Roland, 2003. "Rent Control and Unemployment Duration," IZA Discussion Papers 842, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  2. Munch, Jakob Roland & Svarer, Michael, 2002. "Rent control and tenancy duration," Journal of Urban Economics, Elsevier, vol. 52(3), pages 542-560, November. [Downloadable!] (restricted)
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  3. Dietz, Robert D. & Haurin, Donald R., 2003. "The social and private micro-level consequences of homeownership," Journal of Urban Economics, Elsevier, vol. 54(3), pages 401-450, November. [Downloadable!] (restricted)
  4. Panis, Constantijn W. A. & Lillard, Lee A., 1994. "Health inputs and child mortality: Malaysia," Journal of Health Economics, Elsevier, vol. 13(4), pages 455-489. [Downloadable!] (restricted)
  5. Van den Berg, Gerard J., 2000. "Duration Models: Specification, Identification, and Multiple Durations," MPRA Paper 9446, University Library of Munich, Germany. [Downloadable!]
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  6. Michael Svarer & Michael Rosholm & Jacob Roland Munch, 2003. "Are Home Owners Really more Unemployed?," CAM Working Papers 2003-09, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics. [Downloadable!]
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  7. Oswald Andrew J., 1996. "A Conjecture on the Explanation for High Unemployment in the Industrialized Nations : Part I," The Warwick Economics Research Paper Series (TWERPS) 475, University of Warwick, Department of Economics. [Downloadable!]
  8. Nickell, S. & Layard, R., 1997. "Labour Market Institutions and Economic Performance," Papers 23, Centre for Economic Performance & Institute of Economics.
    Other versions:
  9. Farber, Henry S., 1999. "Mobility and stability: The dynamics of job change in labor markets," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 37, pages 2439-2483 Elsevier. [Downloadable!] (restricted)
  10. Richard K. Green & Patric H. Hendershott, 1999. "Home Ownership and Unemployment in the U.S," Wisconsin-Madison CULER working papers 99-15, University of Wisconsin Center for Urban Land Economic Research. [Downloadable!]
  11. Jaap H. Abbring & Gerard J. van den Berg, 2003. "The Nonparametric Identification of Treatment Effects in Duration Models," Econometrica, Econometric Society, vol. 71(5), pages 1491-1517, 09. [Downloadable!] (restricted)
  12. van Leuvensteijn, Michiel & Koning, Pierre, 2004. "The effect of home-ownership on labor mobility in the Netherlands," Journal of Urban Economics, Elsevier, vol. 55(3), pages 580-596, May. [Downloadable!] (restricted)
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Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Florence Goffette-Nagot & Claire Dujardin, 2008. "Does public housing occupancy increase unemployment?," Working Papers 0833, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure. [Downloadable!]
    Other versions:
  2. Carole Brunet & Nathalie Havet, 2008. "Propriété immobilière et déqualification dans l’emploi," Post-Print halshs-00267041_v1, HAL. [Downloadable!]
  3. Jan Rouwendal & Peter Nijkamp, 2007. "Homeownership and Labour Market Behaviour: Interpreting the Evidence," Tinbergen Institute Discussion Papers 07-047/3, Tinbergen Institute, revised 03 Nov 2008. [Downloadable!]
  4. Allen Head & Huw Lloyd-Ellis, 2008. "Housing Liquidity, Mobility, and the Labour Market," Working Papers 1197, Queen's University, Department of Economics. [Downloadable!]
  5. Knud Jørgen Munk, 2006. "On the Rationale for the Use of Border Taxes in Developing Countries," Economics Working Papers 2006-12, School of Economics and Management, University of Aarhus. [Downloadable!]
  6. repec:ese:iserwp: is not listed on IDEAS
  7. Knud Jørgen Munk, 2006. "Rules of Normalisation and their Importance for Interpretation of Systems of Optimal Taxation," Economics Working Papers 2006-13, School of Economics and Management, University of Aarhus. [Downloadable!]
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