Urbanization Effects on Job Search Decision
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Yudai Higashi: Graduate School of Humanities and Social Sciences, Okayama University and Junior Research Fellow, Research Institute for Economics and Business Administration, Kobe University, Japan
No DP2020-26, Discussion Paper Series from Research Institute for Economics & Business Administration, Kobe University
This paper examines the effect of industrial agglomeration on a non-working individual's decision to search for a job. The theory implies that agglomeration reduces search costs, enabling non-working individuals to search for jobs. The empirical analyses, using Japanese microdata, find that agglomeration raises the probability of searching for a job, supporting the theoretical prediction. Furthermore, this effect is significant only for females who are less educated, middle-aged and older, and married without children. Such groups tend to benefit from agglomeration because they have relatively higher potential search costs than do other groups.
Keywords: Agglomeration; Local labor market; Labor force participation; Heterogenous individual (search for similar items in EconPapers)
JEL-codes: J64 R11 R23 (search for similar items in EconPapers)
Pages: 43 pages
New Economics Papers: this item is included in nep-geo, nep-lab and nep-ure
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Persistent link: https://EconPapers.repec.org/RePEc:kob:dpaper:dp2020-26
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