Abstract

http://ssrn.com/abstract=1934193
 
 

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Neighborhood Effects and Individual Unemployment


Thomas K. Bauer


Rhine-Westphalia Institute for Economic Research (RWI-Essen); University of Bochum - Faculty of Economics; Institute for the Study of Labor (IZA)

Michael Fertig


Rheinisch-Westfälisches Institut für Wirtschaftsforschung (RWI Essen); Institute for the Study of Labor (IZA)

Matthias Vorell


Rhine-Westphalia Institute for Economic Research (RWI-Essen)

September 1, 2011


Abstract:     
Using a unique dataset for Germany that links individual longitudinal data from the GSOEP to regional data from the federal employment agency and data of real estate prices, we evaluate the impact of neighborhood unemployment on individual employment prospects. The panel setup and richness of the data allows us to overcome some of the identification problems which are present in this strand of literature. The empirical results indicate that there is a significant negative impact of neighborhood unemployment on the individual employment probability.

Number of Pages in PDF File: 42

Keywords: Social interactions, unemployment, neighborhood characteristics

JEL Classification: J65, R23

working papers series


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Date posted: September 27, 2011  

Suggested Citation

Bauer, Thomas K. and Fertig, Michael and Vorell, Matthias, Neighborhood Effects and Individual Unemployment (September 1, 2011). Available at SSRN: http://ssrn.com/abstract=1934193 or http://dx.doi.org/10.2139/ssrn.1934193

Contact Information

Thomas K. Bauer (Contact Author)
Rhine-Westphalia Institute for Economic Research (RWI-Essen) ( email )
Hohenzollernstr. 1-3
Essen, 45128
Germany
+49 201 8149 264 (Phone)
+49 201 8149 284 (Fax)
HOME PAGE: http://www.rwi-essen.de
University of Bochum - Faculty of Economics ( email )
Universitätsstraße 150
Gebäude GC, Ebene 3, Raum 58
D-44780 Bochum
Germany
+02 34 32 28341 (Phone)
+02 34 32 14273 (Fax)
HOME PAGE: http://www.ruhr-uni-bochum.de/empwifo/
Institute for the Study of Labor (IZA) ( email )
P.O. Box 7240
Bonn, D-53072
Germany
+49 228 38 94 529 (Phone)
+49 228 38 94 510 (Fax)
Michael Fertig
Rheinisch-Westfälisches Institut für Wirtschaftsforschung (RWI Essen) ( email )
Hohenzollernstrasse 1-3
45128 Essen
Germany
++49 (201) 8149-201 (Phone)
++49 (201) 8149-236 (Fax)
Institute for the Study of Labor (IZA)
P.O. Box 7240
Bonn, D-53072
Germany
Matthias Vorell
Rhine-Westphalia Institute for Economic Research (RWI-Essen) ( email )
Hohenzollernstr. 1-3
Essen, 45128
Germany
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References:  45
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