Arbeitspapier
An Empirical Measure for Labor Market Density
In this paper we derive a structural measure for labor market density based on the Ellison and Glasear (1997) Index for industry concentration. This labor market density measure serves as a proxy for the number of workers that can reach a certain work area within a reasonal amount of traveling time. We apply this measure to a standard wage equation and find that it takes account of almost half of the cross region wage variance (not explained by other observables). Moreover, it explains substantially more than the traditional density measure: people per square mile.
- Language
-
Englisch
- Bibliographic citation
-
Series: Tinbergen Institute Discussion Paper ; No. 00-036/3
- Classification
-
Wirtschaft
Labor Force and Employment, Size, and Structure
Wages, Compensation, and Labor Costs: General
Mobility, Unemployment, Vacancies, and Immigrant Workers: General
Labor Demand
- Subject
-
labor market density
wage equation
Arbeitsmarkt
Regionales Cluster
Lohn
Messung
Theorie
USA
- Event
-
Geistige Schöpfung
- (who)
-
Gautier, Pieter A.
Teulings, Coen N.
- Event
-
Veröffentlichung
- (who)
-
Tinbergen Institute
- (where)
-
Amsterdam and Rotterdam
- (when)
-
2000
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
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Object type
- Arbeitspapier
Associated
- Gautier, Pieter A.
- Teulings, Coen N.
- Tinbergen Institute
Time of origin
- 2000
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