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Regional Labour Market Dynamics, Housing and Migration

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  • Hämäläinen, Kari
  • Böckerman, Petri

Abstract

The aim of this study is to explore the dynamics of regional labour markets in terms of migration flows. In particular, the study explores the impact of labour markets and housing markets on migration. The internal and the external re-organisations of regional labour markets are shown to be related. An increase in internal turnover within establishments in regional labour markets is found to increase net-migration. This effect arises mainly from a reduction in out-migration. Housing markets constitute binding constraints for migration flows through housing prices and the share of owner-occupancy housing. The results imply that an increase in regional housing prices and a large share of owner-occupancy housing discourages net-migration to a region by reducing inmigration. The out-migration rate remains largely unaffected by housing markets.

Suggested Citation

  • Hämäläinen, Kari & Böckerman, Petri, 2002. "Regional Labour Market Dynamics, Housing and Migration," Discussion Papers 284, VATT Institute for Economic Research.
  • Handle: RePEc:fer:dpaper:284
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    Cited by:

    1. David G. Blanchflower & Andrew J. Oswald, 2013. "Does High Home-Ownership Impair the Labor Market?," NBER Working Papers 19079, National Bureau of Economic Research, Inc.
    2. Gebremeskel H. Gebremariam & Tesfa G. Gebremedhin & Peter V. Schaeffer & Randall W. Jackson, 2008. "Modeling Regional Growth Spillovers: An Analysis of Employment Growth, Migration Behavior, Local Public Services and Household Income in Appalachia," Working Papers e07-13, Virginia Polytechnic Institute and State University, Department of Economics.
    3. Mohammad Arzaghi & Anil Rupasingha, 2013. "Migration As A Way To Diversify: Evidence From Rural To Urban Migration In The U.S," Journal of Regional Science, Wiley Blackwell, vol. 53(4), pages 690-711, October.
    4. Gebremeskel H. Gebremariam & Tesfa G. Gebremedhin & Peter V. Schaeffer & Randall W. Jackson, 2008. "A Simultaneous Spatial Panel Data Model of Regional Growth Variation: An Empirical Analysis of Employment, Income, Migration and Local Public Services," Working Papers e07-12, Virginia Polytechnic Institute and State University, Department of Economics.
    5. Samuel M. Otterstrom, 2015. "Income Migration and Home Price Trajectories in the United States," International Real Estate Review, Asian Real Estate Society, vol. 18(2), pages 277-302.
    6. Gebremariam, Gebremeskel H. & Gebremedhin, Tesfa G. & Schaeffer, Peter V., 2006. "An Empirical Analysis of County-Level Determinants of Small Business Growth Poverty in Appalachia: A Spatial Simultaneous-Equations Approach," 2006 Annual Meeting, February 5-8, 2006, Orlando, Florida 35465, Southern Agricultural Economics Association.
    7. Rebecca M. Blank, 2005. "Poverty, Policy, and Place: How Poverty and Policies to Alleviate Poverty Are Shaped by Local Characteristics," International Regional Science Review, , vol. 28(4), pages 441-464, October.
    8. Gintautas Bloze, 2009. "Interregional migration and housing structure in an East European transition country: A view of Lithuania 2001-2008," Baltic Journal of Economics, Baltic International Centre for Economic Policy Studies, vol. 9(2), pages 47-66, December.
    9. Petri Böckerman & Mika Haapanen, 2013. "The effect of polytechnic reform on migration," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(2), pages 593-617, April.
    10. Garduno-Rivera, Rafael, 2010. "Effect of NAFTA on Mexico's Income Distribution in the Presence of Migration," 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado 61895, Agricultural and Applied Economics Association.
    11. Guangqing Chi & David Marcouiller, 2011. "Isolating the Effect of Natural Amenities on Population Change at the Local Level," Regional Studies, Taylor & Francis Journals, vol. 45(4), pages 491-505.
    12. Gebremeskel Gebremariam & Tesfa Gebremedhin & Peter Schaeffer, 2010. "Analysis of county employment and income growth in Appalachia: a spatial simultaneous-equations approach," Empirical Economics, Springer, vol. 38(1), pages 23-45, February.

    More about this item

    Keywords

    Dynamics of regional labour markets; housing; migration flows; panel data; Labour market; Työmarkkinat; Regional development; Aluekehitys; Labor market and policies promoting economic growth; Työmarkkinat ja kasvua tukeva politiikka; C100 - Econometric and Statistical Methods: General; J110 - Demographic Trends and Forecasts; General Migration; J210 - Labor Force and Employment; Size; and Structure (by industry; occupation; demographic characteristics; etc.); J610 - Geographic Labor Mobility; Immigrant Workers; R230 - Urban; Rural; and Regional Economics: Regional Migration; Regional Labor Markets; Population;

    JEL classification:

    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts

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