Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/314038 
Year of Publication: 
2018
Citation: 
[Journal:] Journal of Applied Economics [ISSN:] 1667-6726 [Volume:] 21 [Issue:] 1 [Year:] 2018 [Pages:] 25-43
Publisher: 
Taylor & Francis, Abingdon
Abstract: 
We examine the extent to which spatial interactions affect the labour market matching process at the regional level using three frameworks: random, stock-flow, and job-queuing. We study the underexplored, regionally diversified former transition country of Poland at the LAU-1 level over the 2003-2014 time period using registered monthly data. We employ a Durbin panel model with spatial error. Results prove that spatial interactions affect matching and that the stock-flow model is in some respects superior to others in explaining the job creation process. Unemployment affects matching more than vacancies. The newly unemployed may seek jobs in adjacent regions and can cause congestion there, but vacancies tend to attract workers from adjacent markets and exert positive externalities. Policy actions should be aimed at exploiting spatial interdependencies to improve matching at the regional level by increasing the number of available job offers, improving information, and increasing labour force mobility.
Subjects: 
matching function
region
Spatial interactions
spillover effects
Persistent Identifier of the first edition: 
Creative Commons License: 
cc-by Logo
Document Type: 
Article

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