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Unemployment and vacancy flows in spatial labour market matching at the regional level. The case of a transition country

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  • Elżbieta Antczak
  • Ewa Gałecka-Burdziak
  • Robert Pater

Abstract

We examine the extent to which spatial interactions affect the labour market matching process at the regional level using three frameworks: random, stock-flow, and job-queuing. We study the underexplored, regionally diversified former transition country of Poland at the LAU-1 level over the 2003–2014 time period using registered monthly data. We employ a Durbin panel model with spatial error. Results prove that spatial interactions affect matching and that the stock-flow model is in some respects superior to others in explaining the job creation process. Unemployment affects matching more than vacancies. The newly unemployed may seek jobs in adjacent regions and can cause congestion there, but vacancies tend to attract workers from adjacent markets and exert positive externalities. Policy actions should be aimed at exploiting spatial interdependencies to improve matching at the regional level by increasing the number of available job offers, improving information, and increasing labour force mobility.

Suggested Citation

  • Elżbieta Antczak & Ewa Gałecka-Burdziak & Robert Pater, 2018. "Unemployment and vacancy flows in spatial labour market matching at the regional level. The case of a transition country," Journal of Applied Economics, Taylor & Francis Journals, vol. 21(1), pages 25-43, January.
    • Handle: RePEc:taf:recsxx:v:21:y:2018:i:1:p:25-43
    DOI: 10.1080/15140326.2018.1526874
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    Cited by:

    1. Aleksandra Majchrowska & Paweł Strawiński, 2021. "Minimum wage and local employment: A spatial panel approach," Regional Science Policy & Practice, Wiley Blackwell, vol. 13(5), pages 1581-1602, October.
    2. Velandia Campos, Joan Sebastian & Castillo Caicedo, Maribel & Mora Rodríguez, Jhon James, 2021. "La situación laboral de las personas con discapacidad en Colombia desde un enfoque local. || The employment situation of disabled people in Colombia from a local approach," Revista de Métodos Cuantitativos para la Economía y la Empresa = Journal of Quantitative Methods for Economics and Business Administration, Universidad Pablo de Olavide, Department of Quantitative Methods for Economics and Business Administration, vol. 31(1), pages 280-300, June.

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