The role of the housing market in workers’ resilience to job displacement after firm bankruptcy

Jordy Meekes and W.H.J. Hassink

No 16-10, Working Papers from Utrecht School of Economics

Abstract: This paper examines the importance of the housing market for workers who have become displaced. We used Dutch administrative data, which were analysed with a quasi-experimental empirical design. The estimates indicate that displaced workers experience an increase in commute and decrease in moving home, employment and wage. Furthermore, these patterns change across time – the evidence suggests that workers who have longer unemployment duration prefer lower gains in commute to higher losses in wage. Finally, the worker-specific housing state has a substantial effect on the costs of job displacement, which is comparable to the effects of various demographic and job characteristics.

Keywords: Housing; Unemployment; Wages; Commuting; Mobility; Worker Characteristics (search for similar items in EconPapers)
Date: 2016-10
New Economics Papers: this item is included in nep-ure
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Citations: View citations in EconPapers (4)

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