On the Impact of Labor Market Matching of Regional Disparities

Jean-Philippe Tropeano and Tharakan Joe
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Tharakan Joe: CORE - Center of Operation Research and Econometrics [Louvain] - UCL - Université Catholique de Louvain = Catholic University of Louvain

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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; CAPITAL HUMAIN; ECONOMIE GEOGRAPHIQUE; MARCHE DU TRAVAIL; DISPARITE REGIONALE (search for similar items in EconPapers)
Date: 2009-02
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Citations: View citations in EconPapers (1)

Published in Journal of Regional Science, 2009, 49 (1), pp.57. ⟨10.1111/j.1467-9787.2008.00600.x⟩

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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 on regional disparities (2008)
Working Paper: On the impact of labor market matching on regional disparities (2002)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-00643684

DOI: 10.1111/j.1467-9787.2008.00600.x

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