Is There a Southern-Sclerosis? Worker Reallocation and Regional Unemployment in Italy
AbstractTheoretical reasoning justifies different signs of the relationship between the local variation in unemployment rates and the extent of workers reallocation. This paper aims to test different theoretical hypotheses in the case of Italy by using the longitudinal files of the Italian labour force survey over the years from 2004 to 2010. We find that labour turnover, as well as inflows and outflows separately, differ significantly at the regional level and are ceteris paribus positively related to the unemployment rate. In addition, we study the determinants of labour turnover across NUTS1 and NUTS2 geographical units and find that it correlates positively with structural change, as measured by the Lilien index, and negatively with the degree of industrial concentration, as measured by the Herfindahl index. Once we control for sectoral shifts and industrial concentration, we note a reduction of between 25 and 40% of the regional gap in labour turnover rates. This general conclusion is robust to the use of different control variables.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 6954.
Length: 34 pages
Date of creation: Oct 2012
Date of revision:
Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Find related papers by JEL classification:
- C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
- P25 - Economic Systems - - Socialist Systems and Transition Economies - - - Urban, Rural, and Regional Economics
- P52 - Economic Systems - - Comparative Economic Systems - - - Comparative Studies of Particular Economies
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-11-11 (All new papers)
- NEP-GEO-2012-11-11 (Economic Geography)
- NEP-LAB-2012-11-11 (Labour Economics)
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.:
- Andrew Newell & Francesco Pastore, 2006.
"Regional Unemployment and Industrial Restructuring in Poland,"
Eastern European Economics,
M.E. Sharpe, Inc., vol. 44(3), pages 5-28, May.
- Andrew Newell & Francesco Pastore, 2000. "Regional Unemployment and Industrial Restructuring in Poland," CELPE Discussion Papers 51, CELPE (Centre of Labour Economics and Economic Policy), University of Salerno, Italy.
- Newell, Andrew T. & Pastore, Francesco, 2000. "Regional Unemployment and Industrial Restructuring in Poland," IZA Discussion Papers 194, Institute for the Study of Labor (IZA).
- Roberto Basile & Alessandro Girardi & Marianna Mantuano & Francesco Pastore, 2012.
"Sectoral shifts, diversification and regional unemployment: evidence from local labour systems in Italy,"
Springer, vol. 39(4), pages 525-544, November.
- Basile, Roberto & Girardi, Alessandro & Mantuano, Marianna & Pastore, Francesco, 2011. "Sectoral Shifts, Diversification and Regional Unemployment: Evidence from Local Labour Systems in Italy," IZA Discussion Papers 6197, Institute for the Study of Labor (IZA).
- Roberto Basile & Alessandro Girardi & Marianna Mantuano & Francesco Pastore, 2011. "Sectoral Shifts, Diversification and Regional Unemployment. Evidence From Local Labour Systems in Italy," WIFO Working Papers 411, WIFO.
- Layard, Richard & Nickell, Stephen & Jackman, Richard, 2005.
"Unemployment: Macroeconomic Performance and the Labour Market,"
Oxford University Press, number 9780199279173.
- Layard, Richard & Nickell, Stephen & Jackman, Richard, 1991. "Unemployment: Macroeconomic Performance and the Labour Market," OUP Catalogue, Oxford University Press, number 9780198284345.
- Mario Fortin & Abdelkrim Araar, 1997.
"Sectoral shifts, stock market dispersion and unemployment in Canada,"
Taylor & Francis Journals, vol. 29(6), pages 829-839.
- Fortin, M. & Abdelkrim, A., 1993. "Sectoral Shifts, Stock Market Dispersion and Unemployment in Canada," Cahiers de recherche 93-05, Departement d'Economique de la Faculte d'administration à l'Universite de Sherbrooke.
- repec:ebl:ecbull:v:28:y:2003:i:25:p:a25 is not listed on IDEAS
- Eriksson, Stefan & Lagerström, Jonas, 2004.
"Competition between employed and unemployed job applicants: Swedish evidence,"
Working Paper Series
2004:2, IFAU - Institute for Evaluation of Labour Market and Education Policy.
- Stefan Eriksson & Jonas Lagerström, 2006. "Competition between Employed and Unemployed Job Applicants: Swedish Evidence," Scandinavian Journal of Economics, Wiley Blackwell, vol. 108(3), pages 373-396, October.
- Ferragina, Anna Maria & Pastore, Francesco, 2005.
"Mind the Gap: Unemployment in the New EU Regions,"
IZA Discussion Papers
1565, Institute for the Study of Labor (IZA).
- Floro Ernesto Caroleo & Francesco Pastore, 2010. "Structural Change and Labour Reallocation Across Regions: A Review of the Literature," AIEL Series in Labour Economics, in: Floro Ernesto Caroleo & Francesco Pastore (ed.), The Labour Market Impact of the EU Enlargement. A New Regional Geography of Europe?, edition 1, chapter 2, pages 17-47 AIEL - Associazione Italiana Economisti del Lavoro.
- Chiarini, Bruno & Piselli, Paolo, 2000. "Unemployment, Wage Pressure and Sectoral Shifts: Permanent and Temporary Consequences of Intersectoral Shocks," Journal of Policy Modeling, Elsevier, vol. 22(7), pages 777-799, December.
- Marshall, Alfred, 1890. "The Principles of Economics," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, number marshall1890.
- Pastore, Francesco & Tyrowicz, Joanna, 2012. "Labour Turnover and the Spatial Distribution of Unemployment: A Panel Data Analysis Using Employment Registry Data," IZA Discussion Papers 7074, Institute for the Study of Labor (IZA).
- Berg Andrew, 1994. "Does Macroeconomic Reform Cause Structural Adjustment? Lessons from Poland," Journal of Comparative Economics, Elsevier, vol. 18(3), pages 376-409, June.
- Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991.
"Growth in Cities,"
NBER Working Papers
3787, National Bureau of Economic Research, Inc.
- Ansari, Muhammad Rashid & Mussida, Chiara & Pastore, Francesco, 2013. "Note on Lilien and Modified Lilien Index," IZA Discussion Papers 7198, Institute for the Study of Labor (IZA).
- Pastore, Francesco, 2013. "Primum vivere… Industrial Change, Job Destruction and the Geographical Distribution of Unemployment," IZA Discussion Papers 7126, Institute for the Study of Labor (IZA).
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).
If references are entirely missing, you can add them using this form.