Social Networks in Labor Markets

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Social Networks in Labor Markets

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Antoni Calvo-Armengol
Yannis M. Ioannides

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Abstract

Research in sociology and economics point to important role for social networks in labor markets. Social contacts mediate propagation of rich and reliable information among indi- viduals and thus help workers find jobs and employers find employees. Recent theoretical advances show that for agents connected through networks employment is positively cor- related across time and agents, unemployment exhibits duration dependence, and inequal- ity can persist. Recent empirical findings underscore nonlinearities in social interactions and potentially important effects of self-selection. Socioeconomic characteristics can explain substantial spatial dependence in unemployment.

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Paper provided by Department of Economics, Tufts University in its series Discussion Papers Series, Department of Economics, Tufts University with number 0517.

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Date of creation: 2005
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Handle: RePEc:tuf:tuftec:0517

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Find related papers by JEL classification:
D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
A14 - General Economics and Teaching - - General Economics - - - Sociology of Economics
J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J70 - Labor and Demographic Economics - - Labor Discrimination - - - General
L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation

This paper has been announced in the following NEP Reports:

NEP-ALL-2005-09-11 (All new papers)
NEP-BEC-2005-09-11 (Business Economics)
NEP-GEO-2005-09-11 (Economic Geography)
NEP-NET-2005-09-11 (Network Economics)
NEP-SOC-2005-09-11 (Social Norms & Social Capital)
NEP-URE-2005-09-11 (Urban & Real Estate Economics)

References listed on IDEAS
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.:

Roland Hodler & Kurt Schmidheiny, 2005. "How Fiscal Decentralization Flattens Progressive Taxes," CESifo Working Paper Series CESifo Working Paper No. , CESifo GmbH. [Downloadable!]
Other versions:
- Roland Hodler & Kurt Schmidheiny, 2005. "How Fiscal Decentralization Flattens Progressive Taxes," Discussion Papers Series, Department of Economics, Tufts University 0508, Department of Economics, Tufts University. [Downloadable!]
- Roland Hodler & Kurt Schmidheiny, 2006. "How Fiscal Decentralization Flattens Progressive Taxes," FinanzArchiv: Public Finance Analysis, Mohr Siebeck, Tübingen, vol. 62(2), pages 281-304, June. [Downloadable!] (restricted)
Yannis M. Ioannides, 2005. "Random Graphs and Social Networks: An Economics Perspective," Discussion Papers Series, Department of Economics, Tufts University 0518, Department of Economics, Tufts University. [Downloadable!]
Louise C. Keely & Chih Ming Tan, 2005. "Understanding Divergent Views on Redistribution Policy in the United States," Discussion Papers Series, Department of Economics, Tufts University 0515, Department of Economics, Tufts University. [Downloadable!]
Henry Kim & Jinill Kim & Robert Kollmann, 2005. "Applying Perturbation Methods to Incomplete Market Models with Exogenous Borrowing Constraints," Discussion Papers Series, Department of Economics, Tufts University 0504, Department of Economics, Tufts University. [Downloadable!]
Yannis Ioannides & Esteban Rossi-Hansberg, 2005. "Urban Growth," Discussion Papers Series, Department of Economics, Tufts University 0513, Department of Economics, Tufts University. [Downloadable!]
Timothy K.M. Beatty & Jay P. Shimshack & Michael B. Ward, 2005. "Are Mercury Advisories Effective? Information, Education, and Fish Consumption," Discussion Papers Series, Department of Economics, Tufts University 0502, Department of Economics, Tufts University. [Downloadable!]
Other versions:
- Jay Shimshack, 2004. "Are Mercury Advisories Effective? Inofrmation, Education, and Fish Consumption," Discussion Papers Series, Department of Economics, Tufts University 0423, Department of Economics, Tufts University. [Downloadable!]
Robert W. Paterson & Jeffrey E. Zabel, 2005. "The Effects of Critical Habitat Designation on Housing Supply: An Analysis of California Housing Construction Activity," Discussion Papers Series, Department of Economics, Tufts University 0514, Department of Economics, Tufts University. [Downloadable!]
Henry Kim & Jinill Kim & Ernst Schaumburg & Christopher A. Sims, 2005. "Calculating and Using Second Order Accurate Solutions of Discrete Time Dynamic Equilibrium Models," Discussion Papers Series, Department of Economics, Tufts University 0505, Department of Economics, Tufts University. [Downloadable!]
Other versions:
- Jinill Kim & Sunghyun Kim & Ernst Schaumburg & Christopher A. Sims, 2003. "Calculating and using second order accurate solutions of discrete time dynamic equilibrium models," Finance and Economics Discussion Series 2003-61, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
- Christopher A. Sims & Jinill Kim & Sunghyun Kim, 2003. "Calculating and Using Second Order Accurate Solution of Discrete Time Dynamic Equilibrium Models," Computing in Economics and Finance 2003 162, Society for Computational Economics. [Downloadable!]
- Christopher A. Sims & Jinill Kim & Sunghyun Kim, 2004. "Calculating and Using Second Order Accurate Solution of Discrete Time Dynamic Equilibrium Models," Econometric Society 2004 North American Winter Meetings 411, Econometric Society. [Downloadable!]

Full references

Cited by:
(explanations, 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.)

Gilbert E. Metcalf & Jongsang Park, 2005. "A Comment on the Role of Prices for Excludable Public Goods," Discussion Papers Series, Department of Economics, Tufts University 0524, Department of Economics, Tufts University. [Downloadable!]
Other versions:
- Gilbert E. Metcalf & Jongsang Park, 2006. "A Comment on The Role of Prices for Excludable Public Goods," NBER Working Papers 12535, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
- Gilbert Metcalf & Jongsang Park, 2007. "A comment on the role of prices for excludable public goods," International Tax and Public Finance, Springer, vol. 14(6), pages 685-698, December. [Downloadable!] (restricted)
Darlene Chisholm & George Norman, 2005. "When to Exit a Product: Evidence from the U.S. Motion-Pictures Exhibition Market," Discussion Papers Series, Department of Economics, Tufts University 0522, Department of Economics, Tufts University. [Downloadable!]
Darlene C. Chisholm & Margaret S. McMillan & George Norman, 2005. "Product Differentiation and Film Programming Choice: Do First-Run Movie Theatres Show the Same Films?," Discussion Papers Series, Department of Economics, Tufts University 0523, Department of Economics, Tufts University. [Downloadable!]
Other versions:
- Darlene C. Chisholm & Margaret S. McMillan & George Norman, 2006. "Product Differentiation and Film Programming Choice: Do First-Run Movie Theatres Show the Same Films?," NBER Working Papers 12646, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
Yannis M. Ioannides & Adriaan R. Soetevent, 2005. "Social Networking and Individual Outcomes Beyond the Mean Field Case," Discussion Papers Series, Department of Economics, Tufts University 0521, Department of Economics, Tufts University. [Downloadable!]

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