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Commuters' effect on local labour markets: A german case study

Author

Listed:
  • Giovanni Russo
  • Peter Nijkamp
  • Aura Reggiani
  • Federico Tedeschi

Abstract

This paper offers an exploratory investigation of the effects of inbound commuter flows on employment in regional labour markets in Germany. For this purpose, we distinguish three channels that could transmit the effects concerned: a crowding-out mechanism, and two labour demand effects (the first is an aggregate demand effect, while the second is a positive externality on vacancy creation). To this end, we develop a stepwise commuting impact model. Our results bring to light that, on the whole, commuter flows have a positive and robust effect on both employment and the number of jobs in the receiving labour market districts, but a distinctly negative effect on the share of jobs filled by resident workers. We then interpret the implications of our results, and, finally, we suggest ways in which the analysis could be improved and expanded.

Suggested Citation

  • Giovanni Russo & Peter Nijkamp & Aura Reggiani & Federico Tedeschi, 2011. "Commuters' effect on local labour markets: A german case study," ERSA conference papers ersa10p1376, European Regional Science Association.
    • Handle: RePEc:wiw:wiwrsa:ersa10p1376
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    References listed on IDEAS

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