IDEAS home Printed from https://ideas.repec.org/p/wiw/wiwrsa/ersa02p232.html
   My bibliography  Save this paper

Social returns to commuting in the Baltic states

Author

Listed:
  • Hazans, Mihails

    ()

Abstract

To what extent does commuting reduce regional wage disparities? This question is addressed by estimating two sets of earnings functions (based on 2000 LFS data for Estonia, Latvia and Lithuania): with geographical variables (like capital city, rural etc.) measured at the working place and at the place of residence. The main finding is that commuting has narrowed the ceteris paribus wage gap between capital city and rural areas by impressive 16 percentage points in Estonia and by 11 percentage points in Latvia, while the gap between capital and other cities has been reduced by 9 percentage points in both countries. In Lithuania gains from commuting are modest (3 percentage points) and go exclusively to residents of small cities. In the case of Latvia data allowed to estimate also effect of the distance between capital city and working place on wages, as well as individual returns to commuting in terms of the distance between living place and working place.

Suggested Citation

  • Hazans, Mihails, 2002. "Social returns to commuting in the Baltic states," ERSA conference papers ersa02p232, European Regional Science Association.
  • Handle: RePEc:wiw:wiwrsa:ersa02p232
    as

    Download full text from publisher

    File URL: http://www-sre.wu.ac.at/ersa/ersaconfs/ersa02/cd-rom/papers/232.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Lothlorien Redmond & Patricia Mokhtarian, 2001. "The positive utility of the commute: modeling ideal commute time and relative desired commute amount," Transportation, Springer, vol. 28(2), pages 179-205, May.
    2. Jan K. Brueckner & Jacques-FranÁois Thisse & Yves Zenou, 2002. "Local Labor Markets, Job Matching, and Urban Location," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 43(1), pages 155-171, February.
    3. Jan K. Brueckner & Hyun-A Kim, 2001. "Land Markets in the Harris-Todaro Model: A New Factor Equilibrating Rural-Urban Migration," Journal of Regional Science, Wiley Blackwell, vol. 41(3), pages 507-520.
    4. Carola Grün & Stephan Klasen, 2001. "Growth, income distribution and well-being in transition countries," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 9(2), pages 359-394, July.
    5. R Cervero & K-L Wu, 1997. "Polycentrism, commuting, and residential location in the San Francisco Bay area," Environment and Planning A, Pion Ltd, London, vol. 29(5), pages 865-886, May.
    6. Jos van Ommeren & Gerard J. van den Berg & Cees Gorter, 2000. "Estimating the Marginal Willingness to Pay for Commuting," Journal of Regional Science, Wiley Blackwell, vol. 40(3), pages 541-563.
    7. R Cervero & K-L Wu, 1997. "Polycentrism, Commuting, and Residential Location in the San Francisco Bay Area," Environment and Planning A, , vol. 29(5), pages 865-886, May.
    8. Zax, Jeffrey S & Kain, John F, 1996. "Moving to the Suburbs: Do Relocating Companies Leave Their Black Employees Behind?," Journal of Labor Economics, University of Chicago Press, vol. 14(3), pages 472-504, July.
    9. Maarten van Ham & Clara H Mulder & Pieter Hooimeijer, 2001. "Spatial Flexibility in Job Mobility: Macrolevel Opportunities and Microlevel Restrictions," Environment and Planning A, , vol. 33(5), pages 921-940, May.
    10. Romana Khan & Peter F. Orazem & Daniel M. Otto, 2001. "Deriving Empirical Definitions of Spatial Labor Markets: The Roles of Competing Versus Complementary Growth," Journal of Regional Science, Wiley Blackwell, vol. 41(4), pages 735-756.
    11. Kim S. So & Peter F. Orazem & Daniel M. Otto, 2001. "The Effects of Housing Prices, Wages, and Commuting Time on Joint Residential and Job Location Choices," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(4), pages 1036-1048.
    12. Zax, Jeffrey S., 1991. "Compensation for commutes in labor and housing markets," Journal of Urban Economics, Elsevier, vol. 30(2), pages 192-207, September.
    13. Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
    14. Zax, Jeffrey S. & Kain, John F., 1991. "Commutes, quits, and moves," Journal of Urban Economics, Elsevier, vol. 29(2), pages 153-165, March.
    15. Wrede, Matthias, 2001. "Should Commuting Expenses Be Tax Deductible? A Welfare Analysis," Journal of Urban Economics, Elsevier, vol. 49(1), pages 80-99, January.
    16. Richard Arnott, 1998. "Economic Theory and the Spatial Mismatch Hypothesis," Urban Studies, Urban Studies Journal Limited, vol. 35(7), pages 1171-1185, June.
    17. Thomas J. Cooke & Stephen L. Ross, 1999. "Sample Selection Bias in Models of Commuting Time," Urban Studies, Urban Studies Journal Limited, vol. 36(9), pages 1597-1611, August.
    18. Richard W. Martin, 2001. "Spatial Mismatch and Costly Suburban Commutes: Can Commuting Subsidies Help?," Urban Studies, Urban Studies Journal Limited, vol. 38(8), pages 1305-1318, July.
    19. Coulson, N Edward & Laing, Derek & Wang, Ping, 2001. "Spatial Mismatch in Search Equilibrium," Journal of Labor Economics, University of Chicago Press, vol. 19(4), pages 949-972, October.
    20. Zenou, Yves, 2000. "Urban unemployment, agglomeration and transportation policies," Journal of Public Economics, Elsevier, vol. 77(1), pages 97-133, July.
    21. Orna Blumen, 2000. "Dissonance in Women's Commuting? The Experience of Exurban Employed Mothers in Israel," Urban Studies, Urban Studies Journal Limited, vol. 37(4), pages 731-748, April.
    22. Jan K. Brueckner, 2000. "Urban Sprawl: Diagnosis and Remedies," International Regional Science Review, , vol. 23(2), pages 160-171, April.
    23. Newell, Andrew T., 2001. "The Distribution of Wages in Transition Countries," IZA Discussion Papers 267, Institute for the Study of Labor (IZA).
    24. Brian D. Taylor & Paul M. Ong, 1995. "Spatial Mismatch or Automobile Mismatch? An Examination of Race, Residence and Commuting in US Metropolitan Areas," Urban Studies, Urban Studies Journal Limited, vol. 32(9), pages 1453-1473, November.
    25. Timothy, Darren & Wheaton, William C., 2001. "Intra-Urban Wage Variation, Employment Location, and Commuting Times," Journal of Urban Economics, Elsevier, vol. 50(2), pages 338-366, September.
    26. R.W. McQuaid, 2001. "Unemployed Job Seeker Attitudes towards Potential Travel-to-Work Times," Growth and Change, Wiley Blackwell, vol. 32(3), pages 355-368.
    27. David M. Levinson, 1997. "Job and housing tenure and the journey to work," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 31(4), pages 451-471.
    28. Brueckner, Jan K. & Martin, Richard W., 1997. "Spatial mismatch: An equilibrium analysis," Regional Science and Urban Economics, Elsevier, vol. 27(6), pages 693-714, November.
    29. Mitch Renkow & Dale Hoover, 2000. "Commuting, Migration, and Rural-Urban Population Dynamics," Journal of Regional Science, Wiley Blackwell, vol. 40(2), pages 261-287.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wiw:wiwrsa:ersa02p232. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gunther Maier). General contact details of provider: http://www.ersa.org .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.