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Does Culture Affect Unemployment? Evidence from the Röstigraben

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  • Beatrix Brügger
  • Rafael Lalive
  • Josef Zweimüller

Abstract

This paper studies the role of culture in shaping unemployment outcomes. The empirical analysis is based on local comparisons across a language barrier in Switzerland. This Röstigraben separates cultural groups, but neither labor markets nor political jurisdictions. Local contrasts across the language border identify the role of culture for unemployment. Our findings indicate that differences in culture explain differences in unemployment duration on the order of 20 %. Moreover, we find that horizontal transmission of culture is more important than vertical transmission of culture and that culture is about as important as strong changes to the benefit duration.

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File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2009/wp-cesifo-2009-07/cesifo1_wp2714.pdf
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Bibliographic Info

Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 2714.

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Date of creation: 2009
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Handle: RePEc:ces:ceswps:_2714

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Keywords: culture; cultural transmission; unemployment duration; regional unemployment;

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  30. repec:fth:iniesr:557 is not listed on IDEAS
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  1. Unemployment: Culture matters more than policy
    by Economic Logician in Economic Logic on 2009-08-27 14:48:00
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