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Regional Employment Polarization in a Time of Crisis: The case of Interwar Britain

Ivan Luzardo-Luna ()
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Ivan Luzardo-Luna: University of Pennsylvania

PIER Working Paper Archive from Penn Institute for Economic Research, Department of Economics, University of Pennsylvania

Abstract: This article aims to identify the impact of regional employment polarization on labor frictions in a time of crisis and structural change by examining the case of interwar Britain. Using an original dataset from the regional returns of unemployment insurance administration, this article estimates the aggregate and regional Beveridge curve shifts, which allows the breakdown of labor frictions into spatial mismatching (interregional frictions) and frictions within regions (intraregional frictions). The latter were the main source of labor frictions during the interwar period, but the former significantly contributed to the mass unemployment observed in the Great Depression.

Keywords: Unemployment; Spatial Mismatching; Beveridge Curve; Great Depression (search for similar items in EconPapers)
JEL-codes: J60 N12 R11 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2022-09-26
New Economics Papers: this item is included in nep-geo, nep-his, nep-lab and nep-ure
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Persistent link: https://EconPapers.repec.org/RePEc:pen:papers:22-025

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