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The Effect of Location on Finding a Job in the Greater Paris Area

  • Gobillon, Laurent

    ()

    (INED, France)

  • Magnac, Thierry

    ()

    (University of Toulouse I)

  • Selod, Harris

    ()

    (Institut National de la Recherche Agronomique)

There are large spatial disparities in unemployment durations across the 1,300 municipalities in the Ile-de-France region (Paris Greater Area). In order to characterize these imbalances, we estimate a proportional hazard model stratified by municipality on an exhaustive dataset of all unemployment spells starting in the first semester of 1996. This model allows us to recover a survival function for each municipality that is purged of individual observed heterogeneity. We show that only 30% of the disparities in the observed determinants of the survival rates relate to individual variables. Nearly 70% of the remaining disparities are captured by local indicators, mainly segregation indices.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2848.

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Length: 43 pages
Date of creation: Jun 2007
Date of revision:
Publication status: published as 'The effect of location on finding a job in the Paris region' in: Journal of Applied Econometrics, 2011, 26 (7), 1079 - 1112
Handle: RePEc:iza:izadps:dp2848
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