In various macro-studies, home-ownership is found to hamper job mobility and to increase unemployment. This paper addresses similar issues, but uses a microeconometric framework where both individual job mobility, as well as the probability of being homeowner are modeled simultaneously. Using a panel of individual labor and housing market histories for the period 1989-1998, we estimate a nonparametric model of both job durations and home-ownership. We do not find homeowners to change less from jobs than tenants. Instead, our results suggest that the housing decision is driven by job commitment, and not the reverse. We do however find homeowners to be less vulnerable for unemployment.
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Paper provided by Utrecht School of Economics in its series Working Papers with number
04-01.
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Jakob Roland Munch & Michael Rosholm & Michael Svarer, 2006.
"Home Ownership, Job Duration, and Wages,"
CAM Working Papers
2006-08, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
[Downloadable!]
Michael Svarer & Michael Rosholm & Jacob Roland Munch, 2003.
"Are Home Owners Really more Unemployed?,"
CAM Working Papers
2003-09, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
[Downloadable!]
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Florence Goffette-Nagot & Claire Dujardin, 2008.
"Does public housing occupancy increase unemployment?,"
Working Papers
0833, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure.
[Downloadable!]
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