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Spatio-temporal dynamics in Swiss regional unemployment

Author

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  • Rolf Schenker
  • Martin Straub

Abstract

It is generally accepted that regional labor markets are characterized by strong interdependencies. However, only few studies include spatial elements to their estimations. Using the model framework proposed by Cli and Ord (1973, 1981) and the estimation technique proposed by Kelejian and Prucha (1998), we estimate a spatial time series model for the Swiss cantonal unemployment rates on a quarterly level. Our model contains a spatial lag in the level and in the error term, as well as further exogenous explanatory variables. While both spatial lags turn out to be significant in our estimations, the dependency in the error term seems to be even stronger than the one in the level.

Suggested Citation

  • Rolf Schenker & Martin Straub, 2011. "Spatio-temporal dynamics in Swiss regional unemployment," KOF Working papers 11-274, KOF Swiss Economic Institute, ETH Zurich.
    • Handle: RePEc:kof:wpskof:11-274
    DOI: 10.3929/ethz-a-006353323
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    File URL: http://dx.doi.org/10.3929/ethz-a-006353323
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    Cited by:

    1. Shi Chen & Wolfgang Karl Härdle & Weining Wang, 2022. "The common and specific components of inflation expectations across European countries," Empirical Economics, Springer, vol. 62(2), pages 553-580, February.
    2. Christoph Basten & Michael Siegenthaler, 2013. "Do immigrants take or create residents' jobs?," KOF Working papers 13-335, KOF Swiss Economic Institute, ETH Zurich.
    3. Siegenthaler, Michael & Basten, Christoph, 2013. "Do immigrants take or create residents jobs? Quasi-experimental evidence from Switzerland," VfS Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 79780, Verein für Socialpolitik / German Economic Association.

    More about this item

    Keywords

    Regional Unemployment; Spatial Econometrics; Switzerland;
    All these keywords.

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