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Spatial mobility and competition for jobs: Some theory and evidence for Western Germany

Author

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  • Fahr, René
  • Sunde, Uwe

Abstract

This paper sheds new light on the role of regional labor market conditions for regional mobility. We study competition for vacant jobs along two dimensions - between employed and unemployed job searchers, and between resident and non-resident job searchers - within a simple matching framework. Evidence from estimating regional matching functions with data on job searchers disaggregated by previous employment status and regional provenance indicates that competition for jobs along both dimensions affects hiring. Tests of the theoretical predictions suggest that labor market conditions do determine regional mobility, but the countervailing effects of competition between employed and unemployed dilute mobility effects.

Suggested Citation

  • Fahr, René & Sunde, Uwe, 2006. "Spatial mobility and competition for jobs: Some theory and evidence for Western Germany," Munich Reprints in Economics 20483, University of Munich, Department of Economics.
    • Handle: RePEc:lmu:muenar:20483
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    Cited by:

    1. Michael Stops, 2016. "Revisiting German labour market reform effects—a panel data analysis for occupational labour markets," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-43, December.
    2. Fackler, Daniel & Rippe, Lisa, 2016. "Losing work, moving away? Regional mobility after job loss," IWH Discussion Papers 26/2016, Halle Institute for Economic Research (IWH).
    3. repec:bla:germec:v:10:y:2009:i::p:284-316 is not listed on IDEAS
    4. repec:jns:jbstat:v:227:y:2007:i:3:p:236-253 is not listed on IDEAS
    5. Lottmann, Franziska, 2012. "Spatial dependencies in German matching functions," Regional Science and Urban Economics, Elsevier, vol. 42(1-2), pages 27-41.
    6. Rüdiger Wapler & Daniel Werner & Katja Wolf, 2018. "Active labour market policies in Germany: do regional labour markets benefit?," Applied Economics, Taylor & Francis Journals, vol. 50(51), pages 5561-5578, November.
    7. Kosfeld Reinhold, 2007. "Regional Spillovers and Spatial Heterogeneity in Matching Workers and Employers in Germany," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 227(3), pages 236-253, June.
    8. Uwe Blien & Franziska Hirschenauer & Phan Thi Hong Van, 2010. "Classification of regional labour markets for purposes of labour market policy," Papers in Regional Science, Wiley Blackwell, vol. 89(4), pages 859-880, November.
    9. Nasser Dine Mohamedou, 2022. "Labor mobility within Japanese regional labor markets and spillover effects," The Japanese Economic Review, Springer, vol. 73(4), pages 625-645, October.
    10. Michael Stops, 2014. "Job matching across occupational labour markets," Oxford Economic Papers, Oxford University Press, vol. 66(4), pages 940-958.
    11. Daniel Fackler & Lisa Rippe, 2016. "Losing Work, Moving away? Regional Mobility after Job Loss," SOEPpapers on Multidisciplinary Panel Data Research 861, DIW Berlin, The German Socio-Economic Panel (SOEP).
    12. Jekaterina Dmitrijeva, 2008. "Matching and Labour Market Efficiency across Space and through EU accession: Evidence from Latvia, Estonia and Slovenia," Documents de recherche 08-05, Centre d'Études des Politiques Économiques (EPEE), Université d'Evry Val d'Essonne.
    13. Tan, Weiqiang & Xie, Weimin & Zhang, Hengxin, 2026. "Social trust and management appointment in family firms," Research in International Business and Finance, Elsevier, vol. 81(C).
    14. Haller, Peter & Heuermann, Daniel F., 2016. "Job search and hiring in local labor markets: Spillovers in regional matching functions," Regional Science and Urban Economics, Elsevier, vol. 60(C), pages 125-138.
    15. Enrico Moretti & Moises Yi, 2024. "Size Matters: Matching Externalities and the Advantages of Large Labor Markets," NBER Working Papers 32250, National Bureau of Economic Research, Inc.
    16. Higashi, Yudai, 2018. "Spatial spillovers in job matching: Evidence from the Japanese local labor markets," Journal of the Japanese and International Economies, Elsevier, vol. 50(C), pages 1-15.

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