Employment Effects of Spatial Dispersal of Refugees
Anna Damm () and
Michael Rosholm
No 2005-03, CAM Working Papers from University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics
Abstract:
Spatial dispersal policies may influence labour market integration of refugees through two mechanisms. First, it may affect the local job offer arrival rate, and second, it may affect place utility. We investigate the second mechanism theoretically by formulating a partial search model in which an individual searches simultaneously for a job and for a new residential location. The model predicts that the reservation wage for local jobs is decreasing in place utility. We argue that spatial dispersal policies decrease average place utility of refugees which decrease the transition rate into first job due to large local reservation wage effects. We investigate both mechanisms empirically and test the predictions of the theoretical model by evaluating the employment effects of the Danish spatial dispersal policy carried out 1986-1998.
Keywords: spatial dispersal policy; job search; residential search; employment; migration (search for similar items in EconPapers)
JEL-codes: J15 J61 J64 J68 (search for similar items in EconPapers)
Pages: 35 pages
Date: 2005-04
New Economics Papers: this item is included in nep-geo, nep-lab and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)
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Related works:
Journal Article: Employment effects of spatial dispersal of refugees (2010) 
Working Paper: Employment Effects of Spatial Dispersal of Refugees (2006) 
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Persistent link: https://EconPapers.repec.org/RePEc:kud:kuieca:2005_03
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