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Commuting, Spatial Search and Labour Market Bargaining

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Author Info
Jos van Ommeren ()
Piet Rietveld () (Vrije Universiteit Amsterdam)

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Abstract

We develop an equilibrium job search model in which employees incur endogenous commuting costs. This model leads to the following conclusions:
1.Firms partially compensate workers for the incurred commuting costs.
2.When workers have more bargaining power, they will receive less compensation for the incurred commuting costs.
3.The average commuting costs are an increasing function of the productivity level of the workers, but a decreasing function of the unemployment benefit level.
4.Given balanced growth, the average commuting costs are proportional to the average wage in the long run.
5.Given balanced growth, the average commuting time is constant in the long run, but the average commuting distance and speed are increasing over time.

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Publisher Info
Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 02-039/3.

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Date of creation: 22 Apr 2002
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Handle: RePEc:dgr:uvatin:20020039

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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. Simpson, Wayne, 1980. "A simultaneous model of workplace and residential location incorporating job search," Journal of Urban Economics, Elsevier, vol. 8(3), pages 330-349, November. [Downloadable!] (restricted)
  2. van den Berg, Gerard J & Gorter, Cees, 1997. "Job Search and Commuting Time," Journal of Business & Economic Statistics, American Statistical Association, vol. 15(2), pages 269-81, April.
    Other versions:
  3. Jos van Ommeren & Gerard J. van den Berg & Cees Gorter, 1998. "Estimating the Marginal Willingness to pay for commuting," Tinbergen Institute Discussion Papers 98-099/3, Tinbergen Institute.
    Other versions:
  4. Aghion, Philippe & Howitt, Peter, 1994. "Growth and Unemployment," Review of Economic Studies, Blackwell Publishing, vol. 61(3), pages 477-94, July. [Downloadable!] (restricted)
    Other versions:
  5. Mortensen, Dale T., 1994. "The cyclical behavior of job and worker flows," Journal of Economic Dynamics and Control, Elsevier, vol. 18(6), pages 1121-1142, November. [Downloadable!] (restricted)
  6. Burda, Michael C. & Profit, Stefan, 1996. "Matching across space: Evidence on mobility in the Czech Republic," Labour Economics, Elsevier, vol. 3(3), pages 255-278, October. [Downloadable!] (restricted)
    Other versions:
  7. Jos van Ommeren, 1998. "On-the-Job Search Behavior: The Importance of Commuting Time," Land Economics, University of Wisconsin Press, vol. 74(4), pages 526-540. [Downloadable!] (restricted)
  8. Schafer, Andreas, 1998. "The global demand for motorized mobility," Transportation Research Part A: Policy and Practice, Elsevier, vol. 32(6), pages 455-477, August. [Downloadable!] (restricted)
  9. Rouwendal, Jan, 1998. "Search Theory, Spatial Labor Markets, and Commuting," Journal of Urban Economics, Elsevier, vol. 43(1), pages 1-22, January. [Downloadable!] (restricted)
  10. Golob, Thomas F. & Beckmann, Martin J. & Zahavi, Yacov, 1981. "A utility-theory travel demand model incorporating travel budgets," Transportation Research Part B: Methodological, Elsevier, vol. 15(6), pages 375-389, December. [Downloadable!] (restricted)
  11. Hamilton, Bruce W, 1982. "Wasteful Commuting," Journal of Political Economy, University of Chicago Press, vol. 90(5), pages 1035-51, October. [Downloadable!] (restricted)
  12. Coles, Melvyn G & Smith, Eric, 1996. "Cross-Section Estimation of the Matching Function: Evidence from England and Wales," Economica, London School of Economics and Political Science, vol. 63(252), pages 589-97, November. [Downloadable!] (restricted)
    Other versions:
  13. Small, K.A. & Gomez-Ibanez, J.A., 1996. "Urban Transportation," Papers 95-96-4, California Irvine - School of Social Sciences.
    Other versions:
  14. van Ommeren, Jos & Rietveld, Piet & Nijkamp, Peter, 1999. "Job Moving, Residential Moving, and Commuting: A Search Perspective," Journal of Urban Economics, Elsevier, vol. 46(2), pages 230-253, September. [Downloadable!] (restricted)
  15. Pissarides, Christopher A, 1987. "Search, Wage Bargains and Cycles," Review of Economic Studies, Blackwell Publishing, vol. 54(3), pages 473-83, July. [Downloadable!] (restricted)
  16. Simon Burgess & Stefan Profit, 2001. "Externalities in the Matching of Workers and Firms in Britain," CEP Discussion Papers dp0490, Centre for Economic Performance, LSE. [Downloadable!]
  17. Burgess, Simon & Profit, Stefan, 2001. "Externalities in the matching of workers and firms in ritain," Labour Economics, Elsevier, vol. 8(3), pages 313-333, June. [Downloadable!] (restricted)
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  18. Barbara Petrongolo & Christopher A. Pissarides, 2001. "Looking into the Black Box: A Survey of the Matching Function," Journal of Economic Literature, American Economic Association, vol. 39(2), pages 390-431, June. [Downloadable!] (restricted)
    Other versions:
  19. Madden, Janice Fanning, 1985. "Urban wage gradients: Empirical evidence," Journal of Urban Economics, Elsevier, vol. 18(3), pages 291-301, November. [Downloadable!] (restricted)
  20. George J. Stigler, 1961. "The Economics of Information," Journal of Political Economy, University of Chicago Press, vol. 69, pages 213. [Downloadable!] (restricted)
  21. Sugden, Robert, 1980. "An application of search theory to the analysis of regional labour markets," Regional Science and Urban Economics, Elsevier, vol. 10(1), pages 43-51, March. [Downloadable!] (restricted)
  22. Holzer Harry J. & Ihlanfeldt Keith R. & Sjoquist David L., 1994. "Work, Search, and Travel among White and Black Youth," Journal of Urban Economics, Elsevier, vol. 35(3), pages 320-345, May. [Downloadable!] (restricted)
  23. Wales, Terence J., 1978. "Labour supply and commuting time : An empirical study," Journal of Econometrics, Elsevier, vol. 8(2), pages 215-226, October. [Downloadable!] (restricted)
  24. Hamilton, Bruce W, 1989. "Wasteful Commuting Again," Journal of Political Economy, University of Chicago Press, vol. 97(6), pages 1497-1504, December. [Downloadable!] (restricted)
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. Carole Brunet & Jean-Yves Lesueur, 2003. "Do homeowners stay unemployed longer ? A French micro-econometric study," Post-Print halshs-00178576_v1, HAL. [Downloadable!]
  2. Carole Brunet & Nathalie Havet, 2008. "Propriété immobilière et déqualification dans l’emploi," Working Papers 0807, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure. [Downloadable!]
  3. Carole Brunet & Jean-Yves Lesueur, 2004. "Le statut résidentiel affecte-t-il la durée de chômage ? Une estimation micro-économétrique sur données françaises," Post-Print halshs-00330653_v1, HAL. [Downloadable!]
  4. Carole Brunet & Nathalie Havet, 2008. "Propriété immobilière et déqualification dans l’emploi," Post-Print halshs-00267041_v1, HAL. [Downloadable!]
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