Place Based Policies with Unemployment
- (pp. 238-43)
AbstractWe develop a stylized model of frictional local labor markets with the goal of studying the efficiency of unemployment differences across areas. The model adapts the widely used Diamond-Mortensen-Pissarides framework to a local labor market setting with a competitive housing market. The result is a simple search analogue of the classic Roback model that provides a tractable environment for studying the effects of local job creation efforts.
Citation2013. "Place Based Policies with Unemployment." American Economic Review, 103(3): 238-43. DOI: 10.1257/aer.103.3.238
- E24 Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital
- R12 Size and Spatial Distributions of Regional Economic Activity
- R23 Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics