On the impact of labor market matching on regional disparities

Jo Tharakan and Jean-Philippe Tropeano
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Jo Tharakan: Université catholique de Louvain (UCL). Center for Operations Research and Econometrics (CORE)

No 2008046, LIDAM Discussion Papers CORE from Université catholique de Louvain, Center for Operations Research and Econometrics (CORE)

Abstract: We propose a model where imperfect matching between firms and workers on local labor markets leads to incentives for spatial agglomeration. We show that the occurrence of spatial agglomeration depends on initial size differences in terms of both number of workers and firms. Allowing for dynamics of workers' and firms' location choices, we show that the spatial outcome depends crucially on different dimensions of agents' mobility. The effect of a higher level of human capital on regional disparities depends on whether it makes workers more mobile or more specialized on the labor market.

Keywords: economic geography; local labor market; regional disparities; human capital. (search for similar items in EconPapers)
JEL-codes: J42 J61 R12 (search for similar items in EconPapers)
Date: 2008-08-01
New Economics Papers: this item is included in nep-geo, nep-hrm, nep-lab and nep-ure
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Citations: View citations in EconPapers (1)

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Related works:
Journal Article: ON THE IMPACT OF LABOR MARKET MATCHING ON REGIONAL DISPARITIES* (2009)
Working Paper: On the impact of labor market matching on regional disparities (2009)
Working Paper: On the Impact of Labor Market Matching of Regional Disparities (2009)
Working Paper: On the Impact of Labor Market Matching of Regional Disparities (2009)
Working Paper: On the impact of labor market matching on regional disparities (2002)
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