IDEAS home Printed from https://ideas.repec.org/a/ags/jrapmc/132179.html
   My bibliography  Save this article

Regional Labor Markets: The Relationship Between Industry Level Employment and In-commuting in Pennsylvania Counties

Author

Listed:
  • Shields, Martin
  • Swenson, David

Abstract

Hoping to generate employment opportunities for residents, communities often offer location incentives to businesses. But many newly created jobs may go to commuters rather than local residents, resulting in higher incentive costs per local job than perhaps anticipated. In this paper we examine the allocation of employment across space, emphasizing the propensity of commuters to “capture†jobs. Central to our work is an industry-level model of incommuting, where commuters balance employment and wage opportunities with relative housing prices and travel costs. Using data from 65 Pennsylvania counties, our empirical results suggest that the proportion of jobs filled by in-commuters varies by industry, ranging from 0.036 (farming) to 0.498 (federal government). Thus communities courting employers should recognize that local benefits of employment growth might depend on the industry. Furthermore, when recruiting industries where there is a high propensity to commute, communities should pursue regional agreements when offering incentives so as to internalize some of the spillover effects.

Suggested Citation

  • Shields, Martin & Swenson, David, 2000. "Regional Labor Markets: The Relationship Between Industry Level Employment and In-commuting in Pennsylvania Counties," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 30(2).
  • Handle: RePEc:ags:jrapmc:132179
    as

    Download full text from publisher

    File URL: http://purl.umn.edu/132179
    Download Restriction: no

    References listed on IDEAS

    as
    1. Simpson, Wayne, 1980. "A simultaneous model of workplace and residential location incorporating job search," Journal of Urban Economics, Elsevier, vol. 8(3), pages 330-349, November.
    2. Timothy J. Bartik, "undated". "Who Benefits from Local Job Growth: Migrants or Original Residents?," Upjohn Working Papers and Journal Articles tjb1993rs, W.E. Upjohn Institute for Employment Research.
    3. Treyz, George I, et al, 1993. "The Dynamics of U.S. Internal Migration," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 209-214, May.
    4. Greenwood, Michael J & Hunt, Gary L, 1984. "Migration and Interregional Employment Redistribution in the United States," American Economic Review, American Economic Association, vol. 74(5), pages 957-969, December.
    5. 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 272-287, August.
    6. Hamilton, Bruce W, 1982. "Wasteful Commuting," Journal of Political Economy, University of Chicago Press, vol. 90(5), pages 1035-1051, October.
    7. Fields, Gary S, 1976. "Labor Force Migration, Unemployment and Job Turnover," The Review of Economics and Statistics, MIT Press, vol. 58(4), pages 407-415, November.
    8. 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.
    9. Greenwood, Michael J, 1975. "Research on Internal Migration in the United States: A Survey," Journal of Economic Literature, American Economic Association, vol. 13(2), pages 397-433, June.
    10. Knapp, Thomas A. & Graves, Philip E., 1989. "On the role of amenities in models of migration and regional development," MPRA Paper 19914, University Library of Munich, Germany.
    11. Smith, Donald Mitchell, 1974. "Regional Growth: Interstate and Intersectoral Factor Reallocations," The Review of Economics and Statistics, MIT Press, vol. 56(3), pages 353-359, August.
    Full references (including those not matched with items on IDEAS)

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:jrapmc:132179. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: http://edirc.repec.org/data/mcrsaea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.