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Is the division of labour limited by the extent of the market? Evidence from French cities

Author

Listed:
  • Gilles Duranton

    (Wharton School, University of Pennsylvania - University of Pennsylvania [Philadelphia])

  • Hubert Jayet

    (LEM - Lille économie management - UMR 9221 - UA - Université d'Artois - UCL - Université catholique de Lille - ULCO - Université du Littoral Côte d'Opale - Université de Lille - CNRS - Centre National de la Recherche Scientifique)

Abstract

This paper provides some evidence that the division of labour is limited by the extent of the (local) market. We first propose a theoretical model. Its main prediction is that scarce occupations are over-represented in large cities. Using census data for French cities, we then provide strong empirical support for this prediction.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Gilles Duranton & Hubert Jayet, 2011. "Is the division of labour limited by the extent of the market? Evidence from French cities," Post-Print hal-02317876, HAL.
    • Handle: RePEc:hal:journl:hal-02317876
    DOI: 10.1016/j.jue.2010.08.004
    as

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    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J44 - Labor and Demographic Economics - - Particular Labor Markets - - - Professional Labor Markets and Occupations
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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