Spatial spillovers in job matching: Evidence from the Japanese local labor markets

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4 Citations (Scopus)

Abstract

This paper examines whether and how job matching in a local region is affected by unemployment and vacancies in neighboring regions in addition to those in its own region. By using panel data from Japan, we estimate the matching function accounting for the spatial spillovers from neighboring regions. According to our results, job seekers in the local region compete with their counterparts in neighboring regions for jobs. This spatial competition for jobs stems from inter-regional job search, observed as spatial spillovers. Furthermore, catastrophic events, such as natural disasters, boost the magnitude of spatial spillovers in job matching.

Original languageEnglish
Pages (from-to)1-15
Number of pages15
JournalJournal of the Japanese and International Economies
Volume50
DOIs
Publication statusPublished - Dec 2018
Externally publishedYes

Keywords

  • Inter-regional job search
  • Matching function
  • Spatial competition for jobs
  • Spatial econometrics
  • Time trend of spatial spillover

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics
  • Political Science and International Relations

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