Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/56707 
Year of Publication: 
2010
Series/Report no.: 
SFB 649 Discussion Paper No. 2010-054
Publisher: 
Humboldt University of Berlin, Collaborative Research Center 649 - Economic Risk, Berlin
Abstract: 
This paper proposes a spatial panel model for German matching functions to avoid possibly biased and inefficient estimates due to spatial dependence. We provide empirical evidence for the presence of spatial dependencies in matching data. Based on an official data set containing monthly information for 176 local employment offices, we show that neglecting spatial dependencies in the data results in overestimated coefficients. For the incorporation of spatial information into our model, we use data on commuting relations between local employment offices. Furthermore, our results suggest that a dynamic modeling is more appropriate for matching functions.
Subjects: 
empirical matching
geographic labor mobility
spatial dependence
regional unemployment
JEL: 
C21
C23
J64
J63
R12
Document Type: 
Working Paper

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