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Inequality and Employment Resilience: An Analysis of Spanish Municipalities during the Great Recession

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  • Fabian Geelhoedt
  • Vicente Royuela
  • David Castells-Quintana

Abstract

In this paper we study an association almost neglected in the literature, that between income inequality and resilience. In particular, we explore the response of employment rates in the face of the crisis of 2008 and how income inequality levels may have affected this response. To do so, we construct two measures of employment resilience—resistance and recoverability—using data on total employment and self-employment for 995 Spanish municipalities during the Great Recession. Our results provide evidence of the threats that high levels of inequality pose for employment resilience, showing that average income is the most important mediating factor of this association.

Suggested Citation

  • Fabian Geelhoedt & Vicente Royuela & David Castells-Quintana, 2021. "Inequality and Employment Resilience: An Analysis of Spanish Municipalities during the Great Recession," International Regional Science Review, , vol. 44(1), pages 113-141, January.
  • Handle: RePEc:sae:inrsre:v:44:y:2021:i:1:p:113-141
    DOI: 10.1177/0160017620957056
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    2. Kaiping Jiang & Kaichao Li & Nan Cong & Siyu Wu & Fei Peng, 2023. "Spatial-Temporal Variation Characteristics and Obstacle Factors of Resilience in Border Cities of Northeast China," Land, MDPI, vol. 12(5), pages 1-19, April.
    3. Richard Florida & Todd Gabe, 2023. "COVID-19, the New Urban Crisis, and Cities: How COVID-19 Compounds the Influence of Economic Segregation and Inequality on Metropolitan Economic Performance," Economic Development Quarterly, , vol. 37(4), pages 328-348, November.
    4. Wei Kang & Qingfang Wang, 2023. "The Impact of COVID-19 on Small Businesses in the US: A Longitudinal Study from a Regional Perspective," International Regional Science Review, , vol. 46(3), pages 235-265, April.
    5. Igor Santos Tupy & Fernanda Faria Silva & Gustavo Figueiredo Campolina Diniz & Rosa Livia Montenegro & Alexandre de Queiroz Stein & Diogo Ferraz, 2023. "Resilient Regions in Brazil: Unfolding the Effects of COVID-19 From a Socioeconomic Perspective," International Regional Science Review, , vol. 46(5-6), pages 649-677, September.
    6. Juan Carlos Lopez, 2022. "Will Increasing Housing Supply Reduce Urban Inequality?," International Regional Science Review, , vol. 45(4), pages 383-416, July.
    7. Raul Ramos & Vicente Royuela, 2021. "Introduction to the Special Issue on “Territorial Resilience: Mitigation and Firms’ Adaptationâ€," International Regional Science Review, , vol. 44(1), pages 3-9, January.

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