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The role of the housing market in workers’ resilience to job displacement after firm bankruptcy

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  • J. Meekes
  • W.H.J. Hassink

Abstract

This paper examines the importance of the housing market for workers who have become displaced. We used Dutch administrative data, which were analysed with a quasi-experimental empirical design. The estimates indicate that displaced workers experience an increase in commute and decrease in moving home, employment and wage. Furthermore, these patterns change across time – the evidence suggests that workers who have longer unemployment duration prefer lower gains in commute to higher losses in wage. Finally, the worker-specific housing state has a substantial effect on the costs of job displacement, which is comparable to the effects of various demographic and job characteristics.

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  • J. Meekes & W.H.J. Hassink, 2016. "The role of the housing market in workers’ resilience to job displacement after firm bankruptcy," Working Papers 16-10, Utrecht School of Economics.
  • Handle: RePEc:use:tkiwps:1610
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    Cited by:

    1. Sander van Veldhuizen & Bart Voogt & Benedikt Vogt & Andrea Morescalchi, 2017. "Negative home equity and job mobility," CPB Discussion Paper 345, CPB Netherlands Bureau for Economic Policy Analysis.

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    Keywords

    Housing; Unemployment; Wages; Commuting; Mobility; Worker Characteristics;

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