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Unemployment duration, city size, and the tightness of the labor market

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  • Cécile Détang-Dessendre
  • Carl Gaigné

Abstract

This paper attempts to determine whether residential location affects unemployment duration. Our analysis is based on a spatial job search framework that shows the importance of dissociating the role of travel time from physical distance in unemployment duration. The contribution of our study also stems from the development of skill-specific accessibility measures that take into account the spatial distribution of labor supply and demand. Our results show that physical distance and competition among searchers must be controlled for in order to understand the significant role of job access (measured in terms of travel time) in unemployment duration. Second, improvements in access raise the probability that persons living in urban fringes and rural areas will become employed. Third, for workers living in large urban centers, the relationship between location and unemployment duration is insignificant.

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Paper provided by INRA UMR SMART in its series Working Papers SMART - LERECO with number 09-04.

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Date of creation: 2009
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Handle: RePEc:rae:wpaper:200904

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Keywords: unemployment duration; job accessibility; commuting time;

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  1. Ghazala Azmat & Maia Guell & Alan Manning, 2004. "Gender gaps in unemployment rates in OECD countries," LSE Research Online Documents on Economics 19995, London School of Economics and Political Science, LSE Library.
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  6. Weinberg, Bruce A., 2004. "Testing the spatial mismatch hypothesis using inter-city variations in industrial composition," Regional Science and Urban Economics, Elsevier, vol. 34(5), pages 505-532, September.
  7. France Prioux, 2005. "Recent Demographic Developments in France," Population (english edition), Institut National d'Études Démographiques (INED), vol. 60(4), pages 371-414.
  8. Alfonso Alba Ramirez & Jose Maria Arranz-Munoz & Fernando Munoz-Bullon, 2006. "Exits from unemployment: recall or new job," Business Economics Working Papers wb060301, Universidad Carlos III, Departamento de Economía de la Empresa.
  9. Patacchini, Eleonora & Zenou, Yves, 2006. "Search activities, cost of living and local labor markets," Regional Science and Urban Economics, Elsevier, vol. 36(2), pages 227-248, March.
  10. Mattsson, Lars-Goran & Weibull, Jorgen W., 1981. "Competition and accessibility on a regional labour market," Regional Science and Urban Economics, Elsevier, vol. 11(4), pages 471-497, November.
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  12. Rouwendal, Jan, 1999. "Spatial job search and commuting distances," Regional Science and Urban Economics, Elsevier, vol. 29(4), pages 491-517, July.
  13. R Cervero & T Rood & B Appleyard, 1999. "Tracking accessibility: employment and housing opportunities in the San Francisco Bay Area," Environment and Planning A, Pion Ltd, London, vol. 31(7), pages 1259-1278, July.
  14. Wasmer, Etienne & Zenou, Yves, 2002. "Does City Structure Affect Job Search and Welfare?," Journal of Urban Economics, Elsevier, vol. 51(3), pages 515-541, May.
  15. Berg, G.J. van den & Gorter, C., 1996. "Job search and commuting time," Serie Research Memoranda 0001, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  16. Thomas, Jonathan M., 1998. "Ethnic Variation in Commuting Propensity and Unemployment Spells: Some U.K. Evidence," Journal of Urban Economics, Elsevier, vol. 43(3), pages 385-400, May.
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  18. David Card & Christoph M. Schmidt, 2003. "Symposium on “Second-generation immigrants and the transition to ethnic minorities”," Journal of Population Economics, Springer, vol. 16(4), pages 707-710, November.
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Cited by:
  1. Rosa Sanchis-Guarner, 2012. "Driving Up Wages: The Effects of Road Construction in Great Britain," SERC Discussion Papers 0120, Spatial Economics Research Centre, LSE.
  2. Mathieu Bunel & Elisabeth Tovar, 2012. "Local Job Accessibility Measurement: When the Model Makes the Results. Methodological Contribution and Empirical Benchmarking on the Paris Region," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 201212, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.
  3. Suárez Cano, Patricia & Mayor Fernández, Matías & Cueto Iglesias, Begoña, 2011. "How important is access to employment offices in Spain? An urban and non-urban perspective," Investigaciones Regionales, Asociación Española de Ciencia Regional, issue 21, pages 119-140.
  4. Jordi Amorós, Catalina & Manjón Antolín, Miguel C., 2013. "The Determinants of Urban (Un)employment Duration: Evidence from Barcelona," Working Papers 2072/211799, Universitat Rovira i Virgili, Department of Economics.
  5. Yip, Chi Man, 2011. "Size and The City: Productivity, Match Quality and Wage Inequality," MPRA Paper 31255, University Library of Munich, Germany.

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