Efficiency in Spatially Disaggregated Labour Market Matching

CERGE-EI Working Paper Series No. 575

35 Pages Posted: 26 Nov 2016

See all articles by Elżbieta Antczak

Elżbieta Antczak

University of Lodz

Ewa Gałecka-Burdziak

Warsaw School of Economics (SGH)

Robert Pater

University of Information Technology and Management

Date Written: November 1, 2016

Abstract

We analyse the efficiency in a labour market matching process. We understand efficiency as a share of the mean number of matches (conditional on given covariates) in the number of matches that would occur if search and matching was optimal, bearing in mind that, contrary to the production function, being unemployed or vacant is not freely chosen or changed. We apply a stochastic matching frontier for random, job queuing and stock-flow models. We use data for Poland, a country with a highly regionally diversified unemployment rate. We contribute to the literature by comparing different spatial aggregation levels – NUTS-1 to NUTS-4 in monthly and annual perspectives. We analyse whether and how the efficiency changes over time. We find spatial and temporal heterogeneity in the labour market. Thus, various policy measures should be designed to improve labour market matching efficiency at certain regional levels.

Keywords: Matching Function, Matching Efficiency, Spatial Aggregation, Stochastic Frontier

JEL Classification: C23, J64

Suggested Citation

Antczak, Elżbieta and Gałecka-Burdziak, Ewa and Pater, Robert, Efficiency in Spatially Disaggregated Labour Market Matching (November 1, 2016). CERGE-EI Working Paper Series No. 575, Available at SSRN: https://ssrn.com/abstract=2875091 or http://dx.doi.org/10.2139/ssrn.2875091

Elżbieta Antczak (Contact Author)

University of Lodz ( email )

Ulica Prezydenta Gabriela
Narutowicza 65 str.
Lodz, 90-131
Poland

Ewa Gałecka-Burdziak

Warsaw School of Economics (SGH) ( email )

aleja Niepodleglosci 162
PL-Warsaw, 02-554
Poland

Robert Pater

University of Information Technology and Management ( email )

ul. Sucharskiego 2
Rzeszów, 35-225
Poland

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