Regional Labor Markets and Aging in Germany
Abstract
This paper analyzes how the aging labor force a¤ects the unem- ployment rate at the regional level in Germany. A theoretical model of equilibrium unemployment with spatial labor market interactions is used to study the e¤ects of age-related changes in job creation and job destruction. Using data for 343 districts, we then examine empirically the consequences of an aging labor force for the local labor markets in Germany. We apply di¤erent estimation techniques to a spatial and time dynamic panel data model. According to the estimates, aging causes an increase in job destruction. In addition, aging in the local labor market increases job creation, while the spatial aging e¤ect on job creation in the local district is negative.Download Info
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Paper provided by University of Rostock, Institute of Economics, Germany in its series Thuenen-Series of Applied Economic Theory with number 102.Length: 41 pages
Date of creation: 2009
Date of revision:
Handle: RePEc:ros:wpaper:102
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Related research
Keywords: Regional Unemployment; Vacancies and Separations; Job Creation; Regional Mobility; Spatial Interactions and Matching; Aging of the Labor Force;Find related papers by JEL classification:
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Turnover; Vacancies; Layoffs
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
- R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
- J10 - Labor and Demographic Economics - - Demographic Economics - - - General
This paper has been announced in the following NEP Reports:
- NEP-AGE-2009-01-17 (Economics of Ageing)
- NEP-ALL-2009-01-17 (All new papers)
- NEP-DGE-2009-01-17 (Dynamic General Equilibrium)
- NEP-GEO-2009-01-17 (Economic Geography)
- NEP-LAB-2009-01-17 (Labour Economics)
- NEP-URE-2009-01-17 (Urban & Real Estate Economics)
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Garloff, Alfred & Pohl, Carsten & Schanne, Norbert, 2011. "Do small labor market entry cohorts reduce unemployment?," IAB Discussion Paper 201118, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
- Alfred Garloff & Carsten Pohl & Norbert Schanne, 2011. "Do smaller labour market entry cohorts really reduce German unemployment?," ERSA conference papers ersa10p658, European Regional Science Association.
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