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Does public housing occupancy increase unemployment?

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  • Claire Dujardin

    ()
    (CORE - Center for Operations Research and Econometrics - Université Catholique de Louvain)

  • Florence Goffette-Nagot

    ()
    (GATE - Groupe d'analyse et de théorie économique - CNRS : UMR5824 - Université Lumière - Lyon II - Ecole Normale Supérieure Lettres et Sciences Humaines)

Abstract

In order to test for the effect of public housing occupancy on unemployment, we estimate a simultaneous probit model of unemployment and public housing. On a first sample, we instrument public housing with the gender composition of children. On a second sample, the instrument is the share of public housing at the city level. We also perform a robustness check that consists in measuring the correlation between unobservables that could explain the effect of public housing on unemployment. As the corresponding level of correlation is low, this check reinforces our result of no effect of public housing on unemployment.

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Bibliographic Info

Paper provided by HAL in its series Post-Print with number halshs-00355640.

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Date of creation: 2008
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Handle: RePEc:hal:journl:halshs-00355640

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Related research

Keywords: Public housing; unemployment; simultaneous probit models; instrumental variables;

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References

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  1. Munch, Jakob R. & Rosholm, Michael & Svarer, Michael, 2003. "Are Home Owners Really More Unemployed?," IZA Discussion Papers 872, Institute for the Study of Labor (IZA).
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Cited by:
  1. David G. Blanchflower & Andrew J. Oswald, 2013. "Does High Home-Ownership Impair the Labor Market?," NBER Working Papers 19079, National Bureau of Economic Research, Inc.
  2. Dujardin, Claire & Goffette-Nagot, Florence, 2010. "Neighborhood effects on unemployment?: A test à la Altonji," Regional Science and Urban Economics, Elsevier, vol. 40(6), pages 380-396, November.
  3. Florence Goffette-Nagot & Modibo Sidibé, 2014. "Housing wealth accumulation: The role of public housing," Working Papers halshs-00925717, HAL.

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