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Le niveau de chômage dans le voisinage affecte-t-il l’entrée sur le marché du travail ?

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  • Matthieu Solignac
  • Maxime Tô

Abstract

Over the last decades, youth unemployment rate has remained high, and wide local variations have been observed in urban areas.?This article analyses the impact of the employment rate in the neighbourhood where individuals live on the integration of young entrants to the labour market.?To disentangle this social interaction effect from sorting, we propose a neighbourhood-fixed-effect strategy using very local variation of the employment rate. Using a representative sample of the young men leaving the French educational system in 1998 and 2004, we find a positive effect of the local level of employment on the probability to get a job three years after leaving school, suggesting the existence of interactions between new entrants and other workers in the neighbourhood.?The extent of the effect depends on the time spent in the neighbourhood by the new entrant to the labour market, her level of education and her immigrant origin.?This effect vanishes in areas where the employment rate is low : a marginal change in the local employment rate only increases chances to get a job for youth located in neighbourhoods where the initial rate is higher than 75%. Classification JEL : R23, Z13.

Suggested Citation

  • Matthieu Solignac & Maxime Tô, 2016. "Le niveau de chômage dans le voisinage affecte-t-il l’entrée sur le marché du travail ?," Revue économique, Presses de Sciences-Po, vol. 67(3), pages 495-524.
    • Handle: RePEc:cai:recosp:reco_673_0495
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    Citations

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    Cited by:

    1. Pascale Petit & Mathieu Bunel & Emilia Ene & Yannick L’Horty, 2016. "Effets de quartier, effet de département : discrimination liée au lieu de résidence et accès à l’emploi," Revue économique, Presses de Sciences-Po, vol. 67(3), pages 525-550.
    2. Georges Dieudonné Mbondo & Novice Patrick Bakehe & Ariel Herbert Fambeu, 2022. "Is informality contagious? An analysis of the effects of social conformism on the formalization of small business," Economics Bulletin, AccessEcon, vol. 42(2), pages 317-329.
    3. Matthieu Solignac & Maxime Tô, 2018. "Do Workers Make Good Neighbours? The Impact of Local Employment on Young Male and Female Entrants to the Labour Market," Annals of Economics and Statistics, GENES, issue 130, pages 167-198.

    More about this item

    JEL classification:

    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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