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The effect of intra- and inter-regional labour mobility on plant performance in Denmark: the significance of related labour inflows

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  • Bram Timmermans

    ()

  • Ron Boschma

    ()

Abstract

This paper investigates the impact of labour mobility on plant performance in Denmark. Our study shows that the effect of labour mobility can only be assessed when one accounts for the type of skills that flow into the plant, and the degree to which these match the existing skills at the plant level. As expected, we found that the inflow of skills that are related to skills in the plant impacts positively on plant productivity growth, while inflows of skills that are similar to the plant skills have a negative effect. We used a sophisticated indicator of revealed relatedness that measures the degree of skill relatedness between sectors on the basis of the intensity of labour flows between sectors. Intra-regional mobility of skilled labour had a negative effect on plant performance, but the impacts of intra- and inter-regional mobility depended on the type of skills that flow into the plant.

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Bibliographic Info

Paper provided by Utrecht University, Section of Economic Geography in its series Papers in Evolutionary Economic Geography (PEEG) with number 1213.

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Length: 30 pages
Date of creation: Jun 2012
Date of revision: Jun 2012
Handle: RePEc:egu:wpaper:1213

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Keywords: labour mobility; revealed relatedness; plant performance; geographical proximity; related labour flows; Denmark;

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References

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Cited by:
  1. Ron Boschma & Rikard Eriksson & Urban Lindgren, 2013. "Labour market externalities and regional growth in Sweden: The importance of labour mobility between skill-related industries," Papers in Evolutionary Economic Geography (PEEG) 1318, Utrecht University, Section of Economic Geography, revised Oct 2013.

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