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Spatial Mismatch in Search Equilibrium

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  • Coulson, N Edward
  • Laing, Derek
  • Wang, Ping

Abstract

We construct a search equilibrium model for a city with central and suburban labor markets that is consistent with the set of empirical regularities commonly associated with the spatial mismatch hypothesis: a higher rate of unemployment for central city residents than suburban residents, a higher job vacancy rate for suburban firms, and reverse commuting and higher suburban wages. The effectiveness and welfare implications of public policy programs that might be used to remedy the underlying mismatch are examined. Copyright 2001 by University of Chicago Press.

Suggested Citation

  • Coulson, N Edward & Laing, Derek & Wang, Ping, 2001. "Spatial Mismatch in Search Equilibrium," Journal of Labor Economics, University of Chicago Press, vol. 19(4), pages 949-972, October.
    • Handle: RePEc:ucp:jlabec:v:19:y:2001:i:4:p:949-72
    DOI: 10.1086/322824
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    References listed on IDEAS

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    3. Sawhill, Isabel V, 1988. "Poverty in the U.S.: Why Is It So Persistent?," Journal of Economic Literature, American Economic Association, vol. 26(3), pages 1073-1119, September.
    4. David T. Ellwood, 1986. "The Spatial Mismatch Hypothesis: Are There Teenage Jobs Missing in the Ghetto?," NBER Chapters, in: The Black Youth Employment Crisis, pages 147-190, National Bureau of Economic Research, Inc.
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