Home Ownership, Job Duration and Wages

Munch, Jakob Roland; Rosholm, Michael; Svarer, Michael

doi:10.2139/ssrn.900827

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Home Ownership, Job Duration and Wages

IZA Discussion Paper No. 2110

26 Pages Posted: 8 May 2006

See all articles by Jakob Roland Munch

Jakob Roland Munch

University of Copenhagen - Department of Economics; Center for Economic and Business Research (CEBR)

Michael Rosholm

Aarhus University - Department of Economics and Business Economics; IZA Institute of Labor Economics; Amternes og Kommunernes Forskningsinstitut (AKF)

Michael Svarer

Aarhus University - Department of Economics and Business Economics; Institute for the Study of Labor (IZA)

There are 2 versions of this paper

Date Written: April 2006

Abstract

We investigate the impact of home ownership on individual job mobility and wages in Denmark. We find that home ownership has a negative impact on job-to-job mobility both in terms of transition into new local jobs and new jobs outside the local labour market. In addition, there is a clear negative effect of home ownership on the unemployment risk and a positive impact on wages. These results are robust to different strategies for correcting for the possible endogeneity of the home owner variable.

Keywords: home ownership, job mobility, duration model

JEL Classification: J6, R2

Suggested Citation: Suggested Citation

Munch, Jakob Roland and Rosholm, Michael and Svarer, Michael, Home Ownership, Job Duration and Wages (April 2006). IZA Discussion Paper No. 2110, Available at SSRN: https://ssrn.com/abstract=900827 or http://dx.doi.org/10.2139/ssrn.900827