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Job Displacement And The Duration Of Joblessness: The Role Of Spatial Mismatch

Author

Listed:
  • Fredrik Andersson
  • John Haltiwanger
  • Mark Kutzbach
  • Henry Pollakowski
  • Daniel Weinberg

Abstract

This paper presents a new approach to the measurement of the effects of spatial mismatch that takes advantage of matched employer-employee administrative data integrated with a person-specific job accessibility measure, as well as demographic and neighborhood characteristics. The basic hypothesis is that if spatial mismatch is present, then improved accessibility to appropriate jobs should shorten the duration of unemployment. We focus on lower-income workers with strong labor force attachment searching for employment after being subject to a mass layoff – thereby focusing on a group of job searchers that are plausibly searching for exogenous reasons. We construct person-specific measures of job accessibility based upon an empirical model of transport modal choice and network travel-time data, giving variation both across neighborhoods in nine metropolitan areas, as well as across neighbors. Our results support the spatial mismatch hypothesis. We find that better job accessibility significantly decreases the duration of joblessness among lower-paid displaced workers. Blacks, females, and older workers are more sensitive to job accessibility than other subpopulations.

Suggested Citation

  • Fredrik Andersson & John Haltiwanger & Mark Kutzbach & Henry Pollakowski & Daniel Weinberg, 2011. "Job Displacement And The Duration Of Joblessness: The Role Of Spatial Mismatch," Working Papers 11-30r, Center for Economic Studies, U.S. Census Bureau, revised Apr 2014.
  • Handle: RePEc:cen:wpaper:11-30r
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    References listed on IDEAS

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    Cited by:

    1. repec:cen:wpaper:13-48 is not listed on IDEAS
    2. Claudia Macaluso, 2017. "Skill Remoteness and Post-layoff Labor Market Outcomes," 2017 Meeting Papers 569, Society for Economic Dynamics.
    3. Bednarzik, Robert W. & Kern, Andreas & Hisnanick, John J., 2017. "Displacement and Debt: The Role of Debt in Returning to Work in the Period Following the Great Recession," IZA Discussion Papers 10764, Institute for the Study of Labor (IZA).
    4. Stark, Oded & Jakubek, Marcin & Kobus, Martyna, 2015. "Engineering an incentive to search for work: A comparison groups approach," Economics Letters, Elsevier, vol. 132(C), pages 1-4.
    5. Neumark, David & Simpson, Helen, 2015. "Place-Based Policies," Handbook of Regional and Urban Economics, Elsevier.
    6. Aaron B. Flaaen & Matthew D. Shapiro & Isaac Sorkin, 2017. "Reconsidering the Consequences of Worker Displacements: Firm versus Worker Perspective," NBER Working Papers 24077, National Bureau of Economic Research, Inc.
    7. Frank Neffke & Anne Otto & César Hidalgo, 2016. "The mobility of displaced workers: How the local industry mix affects job search strategies," Papers in Evolutionary Economic Geography (PEEG) 1605, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Mar 2016.
    8. Parkhomenko, Andrii, 2016. "Opportunity to Move: Macroeconomic Effects of Relocation Subsidies," MPRA Paper 75256, University Library of Munich, Germany.
    9. Catalina Jordi & Miguel Manjón, 2014. "The determinants of urban (un)employment duration: evidence from Barcelona," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(2), pages 515-556, September.
    10. Andrew S. Green & Mark J. Kutzbach & Lars Vilhuber, 2017. "Two Perspectives on Commuting: A Comparison of Home to Work Flows Across Job-Linked Survey and Administrative Files," Working Papers 17-34, Center for Economic Studies, U.S. Census Bureau.
    11. Matthew R. Graham & Mark J. Kutzbach & Danielle H. Sandler, 2017. "Developing a Residence Candidate File for Use With Employer-Employee Matched Data," Working Papers 17-40, Center for Economic Studies, U.S. Census Bureau.

    More about this item

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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