By explicitly considering the spatial dimension of local regional labor markets, we develop a simple dynamic model that explains the spatial correlation between unemployment rates. We then test this model by using UK local data. Our evidence shows a significant spatial dependence that has been growing over time and characterized by a low distance decay. Highly localized effects are explained by commuting flows. These results are consistent with the theoretical model.
Spatial dependence in local unemployment rates / Patacchini, Eleonora; Y., Zenou. - In: JOURNAL OF ECONOMIC GEOGRAPHY. - ISSN 1468-2702. - 7:2(2007), pp. 169-191. [10.1093/jeg/lbm001]
Spatial dependence in local unemployment rates
PATACCHINI, Eleonora;
2007
Abstract
By explicitly considering the spatial dimension of local regional labor markets, we develop a simple dynamic model that explains the spatial correlation between unemployment rates. We then test this model by using UK local data. Our evidence shows a significant spatial dependence that has been growing over time and characterized by a low distance decay. Highly localized effects are explained by commuting flows. These results are consistent with the theoretical model.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
