Spatial Unemployment Differentials in Colombia

Ana Diaz Escobar

No 2011014, LIDAM Discussion Papers IRES from Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES)

Abstract: This paper studies the geographic distribution of unemployment rates in Colombian urban areas. It introduces measures of spatial correlation and spatial econometric techniques to analyze the dependence in local unemployment rates across municipalities. Results suggest that Colombian municipalities have experienced a polarization process between 1993 and 2005, as municipalities' unemployment rates have followed different evolutions relative to the National average. This process has been accompanied by the creation of unemployment clusters, that is to say, municipalities had very similar unemployment outcomes to those of their neighbors. This analysis uses a spatial Durbin model to explore the influence of various factors in determining differences in regional unemployment rates. According to our findings differences in labor demand, immigration rates, and urbanization are factors behind observed municipal unemployment disparities.

Keywords: local labor markets; unemployment di erential; polarization; clustering; spatial econometrics; spatial Durbin model (search for similar items in EconPapers)
JEL-codes: C14 C23 C31 R23 (search for similar items in EconPapers)
Pages: 36
Date: 2011-04-27
New Economics Papers: this item is included in nep-dev, nep-geo, nep-lab, nep-lam, nep-pbe and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Journal Article: Spatial Unemployment Differentials in Colombia (2016)
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Persistent link: https://EconPapers.repec.org/RePEc:ctl:louvir:2011014

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