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Labour Supply and Commuting

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Author Info
Eva Gutiérrez-i-Puigarnau
Jos van Ommeren

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Abstract

We examine the effect of commuting on labour supply patterns. A labour supply model is introduced which shows that commuting distance increases daily workhours, whereas the effect on total labour supply is ambiguous. This paper addresses these issues empirically using the socio-economic panel data for Germany between 1997 and 2007. Endogeneity of commuting distance is accounted for by using employer-induced changes in commuting distance. In line
with the theoretical model developed, we find that commuting distance has a slight positive effect on daily workhours. Further, we find a similar effect on weekly labour supply, but no effect on workdays. Distinguishing between males and females, it appears that the effects on labour supply are mainly through the behaviour of females, but the effects for females are still small.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.342008.de/diw_sp0222.pdf
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Publisher Info
Paper provided by DIW Berlin, The German Socio-Economic Panel (SOEP) in its series SOEPpapers with number 222.

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Length: 35 p.
Date of creation: 2009
Date of revision:
Handle: RePEc:diw:diwsop:diw_sp222

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Related research
Keywords: Commuting; congestion tax; labour supply;

Find related papers by JEL classification:
J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
R41 - Urban, Rural, and Regional Economics - - Transportation Systems - - - Transportation: Demand, Supply, and Congestion

This paper has been announced in the following NEP Reports:

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  25. van Ommeren, Jos & Rietveld, Piet & Nijkamp, Peter, 1997. "Commuting: In Search of Jobs and Residences," Journal of Urban Economics, Elsevier, vol. 42(3), pages 402-421, November. [Downloadable!] (restricted)
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