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A dynamic model of commutes

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  • Rouwendal, Jan

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  • van der Vlist, Arno

    ()

Abstract

This paper studies the interaction between job mobility and housing mobility by considering the duration of commutes. Conventional models assume that the employment location has priority over the residential location and that the latter is adapted to the former. This implies that the duration of commutes that start with a job change is often short, because of a related house change that follows soon. In the paper we distinguish commutes on the basis of the mobility types that started and ended their existence. The empirical analysis of this paper shows that both job mobility and housing mobility are often followed by repeat-mobility, but also by mobility of the other type. These empirical results refer to a sample of Dutch workers who reported changes on the housing and labor market between 1990 and 1998. In order to capture these empirical findings in a formal model, we specify duration models that focus on the time during which employment-housing arrangements (hence, commutes) remain unchanged. We start with estimating univariate duration models for commutes and proceed to competing risks models. Estimation results for these models confirm that commutes that start with housing mobility and those that start with job mobility have similar characteristics with respect to induced future mobility. Moreover, we find that the commuting distance has a limited effect on job mobility, that there is no evidence for the existence of a critical commuting distance and that workers belonging to dual earner households are more mobile on both markets than others.

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Bibliographic Info

Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa02p515.

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Date of creation: Aug 2002
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Handle: RePEc:wiw:wiwrsa:ersa02p515

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  1. Henley, Andrew, 1998. "Residential Mobility, Housing Equity and the Labour Market," Economic Journal, Royal Economic Society, vol. 108(447), pages 414-27, March.
  2. Michiel van Leuvensteijn & Pierre Koning, 2000. "The effects of home-ownership on labour mobility in the Netherlands: Oswald's theses revisited," CPB Research Memorandum 173, CPB Netherlands Bureau for Economic Policy Analysis.
  3. M. van Leuvensteijn & Pierre Koning, 2004. "The Effect of Home-ownership on Labor Mobility in The Netherlands," Working Papers 04-01, Utrecht School of Economics.
  4. M C Deurloo & F M Dieleman & W A V Clark, 1987. "Tenure choice in the Dutch housing market," Environment and Planning A, Pion Ltd, London, vol. 19(6), pages 763-781, June.
  5. Richard Jackman & S Savouri, 1992. "Regional Migration versus Regional Commuting: The Identification of Housing and Employment Flows," CEP Discussion Papers dp0057, Centre for Economic Performance, LSE.
  6. Jackman, Richard & Savouri, Savvas, 1992. "Regional Migration versus Regional Commuting: The Identification of Housing and Employment Flows," Scottish Journal of Political Economy, Scottish Economic Society, vol. 39(3), pages 272-87, August.
  7. Cameron, Gavin & Muellbauer, John, 1998. "The Housing Market and Regional Commuting and Migration Choices," CEPR Discussion Papers 1945, C.E.P.R. Discussion Papers.
  8. 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.
  9. van den Berg, Gerard J, 1992. "A Structural Dynamic Analysis of Job Turnover and the Costs Associated with Moving to Another Job," Economic Journal, Royal Economic Society, vol. 102(414), pages 1116-33, September.
  10. Arno J van der Vlist & Cees Gorter & Peter Nijkamp & Piet Rietveld, 2002. "Residential mobility and local housing-market differences," Environment and Planning A, Pion Ltd, London, vol. 34(7), pages 1147-1164, July.
  11. Lancaster, Tony, 1979. "Econometric Methods for the Duration of Unemployment," Econometrica, Econometric Society, vol. 47(4), pages 939-56, July.
  12. Ridder, Geert, 1990. "The Non-parametric Identification of Generalized Accelerated Failure-Time Models," Review of Economic Studies, Wiley Blackwell, vol. 57(2), pages 167-81, April.
  13. Gronberg, Timothy J. & Reed, W. Robert, 1992. "Estimation of duration models using the Annual Housing Survey," Journal of Urban Economics, Elsevier, vol. 31(3), pages 311-324, May.
  14. Henderson, J. Vernon & Ioannides, Yannis M., 1989. "Dynamic aspects of consumer decisions in housing markets," Journal of Urban Economics, Elsevier, vol. 26(2), pages 212-230, September.
  15. Sueyoshi, Glenn T., 1992. "Semiparametric proportional hazards estimation of competing risks models with time-varying covariates," Journal of Econometrics, Elsevier, vol. 51(1-2), pages 25-58.
  16. Christopher J. Flinn & James J. Heckman, 1982. "Models for the Analysis of Labor Force Dynamics," NBER Working Papers 0857, National Bureau of Economic Research, Inc.
  17. Meen, Geoffrey & Andrew, Mark, 1998. "On the Aggregate Housing Market Implications of Labour Market Change," Scottish Journal of Political Economy, Scottish Economic Society, vol. 45(4), pages 393-419, September.
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Cited by:
  1. Sigrun Beige & Kay Axhausen, 2012. "Interdependencies between turning points in life and long-term mobility decisions," Transportation, Springer, vol. 39(4), pages 857-872, July.
  2. Jan Rouwendal, 2004. "Search Theory and Commuting Behavior," Growth and Change, Gatton College of Business and Economics, University of Kentucky, vol. 35(3), pages 391-418.
  3. Engelbert Theurl & Georg Gottholmseder, 2006. "Nicht-PendlerInnen, Binnen- und GrenzpendlerInnen - Eine sozio-ökonomische Charakterisierung am Beispiel der Pendlerregion Bodenseeraum," Wirtschaft und Gesellschaft - WuG, Kammer für Arbeiter und Angestellte für Wien, Abteilung Wirtschaftswissenschaft und Statistik, vol. 32(2), pages 209-244.

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