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Rent Control and Unemployment Duration

Michael Svarer, Michael Rosholm and Jakob Munch

No 2003-07, CAM Working Papers from University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics

Abstract: In this paper we investigate whether rent control affects the functioning of th labour market. Particularly, we focus on the effect of rent control on the length of individual unemployment duration. Theoretically, the effect is ambigious. Rent control reduces housing mobility and could very well spill-over to mobility in the labour market. On the other hand, to maintain their rent control benefits unemployed individuals are presumably less demanding when accepting a job in the local labour market. Based on a rich Danish data set we investigate the empirical contents of the issue, and find results that are in clear accordance with the theoretical predictions.

Keywords: rent control; unemployment duration; search model (search for similar items in EconPapers)
JEL-codes: C41 D45 J61 L51 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2003-06
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Citations: View citations in EconPapers (1)

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Related works:
Journal Article: Rent control and unemployment duration (2005) Downloads
Working Paper: Rent Control and Unemployment Duration (2003) Downloads
Working Paper: Rent Control and Unemployment Duration Downloads
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