An urban labor market with frictional housing markets: theory and an application to the Paris urban area

2020 ◽  
Author(s):  
Guillaume Chapelle ◽  
Etienne Wasmer ◽  
Pierre-Henri Bono
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Demand Curve ◽  
Labor Demand ◽  
Housing Markets ◽  
Welfare Effects ◽  
Welfare Gains ◽  
The Cost ◽  
Competitive Pricing ◽  
Urban Labor Market

Abstract We build a tractable model of frictional labor markets and segmented housing markets to study welfare effects of regulations, including spatial misallocation and deviation from competitive pricing of rents. The model is summarized by a labor demand curve depending on rents and wages, a wage curve reflecting labor market tightness and rents, and finally a rent curve reflecting employment. In this economy, the rent gradient in the flexible rent sector is higher than in a purely competitive housing market. This leads to spatial misallocation due to some employees commuting too much and some non-employed living inefficiently close to jobs. In turn, reducing generalized commuting costs reduces the rent gradient in the flexible rent sector and the cost of spatial misallocation of workers. The reduction in market rents is maximal when labor markets are less frictional and housing markets are more frictional, and welfare gains are larger when both are more efficient.

scholarly journals Labor Markets

2021 ◽  
Author(s):  
Meng Sun
Keyword(s):  
Labor Market ◽  
Labor Supply ◽  
Labor Markets ◽  
Minimum Wage ◽  
Demand Curve ◽  
Supply And Demand ◽  
Market Equilibrium ◽  
Labor Demand ◽  
Goods And Services ◽  
Competitive Labor Market

What is the labor market? Like the goods and services markets, a labor market consists of the supply and demand sides. In the labor market, while workers supply labor, firms demand labor. This chapter studies the backward-bending nature of the labor supply curve and the downward-sloping nature of the labor demand curve. We also analyze the labor market equilibrium in a perfectly competitive labor market. Several policies such as immigration and minimum wage will be introduced to illustrate how government policies affect the labor market equilibrium.

scholarly journals Tarım Sektöründe İşgücü Terminolojisinin Tanımlanması

2020 ◽  
Vol 8 (3) ◽  
pp. 773
Author(s):  
Zeki Bayramoğlu ◽  
Merve Bozdemir
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Labor Force ◽  
Agricultural Sector ◽  
Supply And Demand ◽  
Labor Demand ◽  
Agricultural Labor ◽  
Market Structures ◽  
Market Formation ◽  
Total Labor

Labor is the efficient part of the population in production. Total labor supply that occurs subject to the developments in the population and labor demand that shapes according to the economic conditions; are two basic elements of market formation. Labor markets can be defined as a social organization where supply and demand are met and wage occurs. Labor market among all market structures are in such position that is significantly affected by other units of the economy and highly affects them due to its functioning and features. Therefore, during the production process and planning, it is necessary to analyze the labor markets in detail. The agricultural labor market within the labor markets which forms the basis of the economy and contributes to other markets from various sources, needs to be analyzed. The agricultural labor should be analyzed and classified because of the following reasons; the agricultural labor has direct contribution in the use of natural resources and capital elements in agricultural sector; the labor is used more intensively in the unit area in agricultural activities compared to other sectors; transfer of labor is realized from the agricultural sector to other sectors; agricultural labor composes the source of the hidden unemployment and structural unemployment. In addition, labor in agricultural sector should be classified in order to determine the types of labor force to be used in data formation for public institutions / organizations and to facilitate access to the correct decision processes in the projects and policies to be created by contributing to obtaining reliable statistical data. In line with those determined objectives, this study was carried out to determine the types of labor force in the agricultural sector, to combine the conceptual definitions made and to provide semantic integrity in the literature.

Skill Shortages, Skill Gaps, and Labor Demand

2021 ◽  
pp. 71-106
Author(s):  
Michael J. Camasso ◽  
Radha Jagannathan
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Labor Demand ◽  
Value Added ◽  
Labor Market Institutions ◽  
Skill Sets ◽  
Government Interventions ◽  
Goods And Services ◽  
Skill Gaps ◽  
Active Labor Market Policies

The focus in this chapter is on the consequences of employers’ decisions and on labor market institutions that create flexible, rigid, or segmented labor markets. The authors profile how each of the focal countries maintains culturally distinctive production functions and how these approaches to the creation of goods and services impact employment and overall economic performance. The importance of a labor market designed around the production of value-added product for export is highlighted, as is the pressure it places on renewal of knowledge and skill sets and flexible labor markets. Failures of the labor market in the forms of unemployment, underemployment, and low labor force participation have resulted in a variety of government interventions or active labor market policies. The authors examine the effectiveness of a number of these policies, including subsidies paid to employees, minimum wages, and employment subsidies to private businesses and public sector jobs.

scholarly journals The Cost of Business Cycles Under Endogenous Growth

2004 ◽  
Vol 94 (4) ◽  
pp. 964-990 ◽  
Author(s):  
Gadi Barlevy
Keyword(s):  
Growth Rate ◽  
Business Cycles ◽  
Welfare Effects ◽  
Welfare Gains ◽  
Subsequent Work ◽  
Aggregate Consumption ◽  
Welfare Benefits ◽  
Consumption Volatility ◽  
The Cost ◽  
Rate Of Consumption

Robert E. Lucas, Jr. argued that the welfare gains from reducing aggregate consumption volatility are negligible. Subsequent work that revisited his calculation continued to find small welfare benefits, further reinforcing the perception that business cycles do not matter. This paper argues instead that fluctuations can affect welfare, by affecting the growth rate of consumption. I show that fluctuations can reduce growth starting from a given initial consumption, which can imply substantial welfare effects as Lucas himself observed. Empirical evidence suggests the welfare effects are likely to be substantial, about two orders of magnitude greater than Lucas' original estimates.

Capital and Distinction

2006 ◽  
Author(s):  
Harald Bauder
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Social Reproduction ◽  
Human Life ◽  
Labor Demand ◽  
Social Regulation ◽  
Cultural Perspective ◽  
Full Account ◽  
The Social

Early approaches to labor market segmentation focused on either demand- or supply-side processes (e.g., Ashton and Maguire 1984; Gordon et al. 1982; Reich et al. 1973). Work and social reproduction, however, are not independent spheres of human life and should not be separated into independent analytical categories. Recent scholarship on the segmentation of immigrant labor has begun treating labor markets as a multidimensional process involving the interaction of economic, social, and cultural practices. Michael Samers (1998), for example, has shown in his research that labor demand, citizenship, and policies on immigration and education are interlocking components of the segmentation of labor. In this chapter, I show how Pierre Bourdieu’s ideas of capital and habitus can be applied to the structuring of labor markets. Because labor markets are socially regulated, social theories, such as those developed by Bourdieu, can help us understand the relationship between migration and the labor market. Bourdieu’s ideas contribute an important cultural perspective to this relationship. My aim in this chapter is thus to present a coherent outline of this cultural perspective. The work of Pierre Bourdieu has been enormously influential in the social sciences over the past decades. His ideas have found widespread application in almost every research topic imaginable. Bourdieu’s own career stretched over several decades, beginning with early research in Algeria in the 1950s and ending with his death in January 2002. It would be impossible to give a full account of his work in this chapter. I therefore limit my discussion to his treatment of habitus and capital, extending the notion of capital to the context of citizenship. Although I already discussed citizenship at some length in the previous chapter, this discussion stopped short of revealing how citizenship can act as a form of capital that complements other types of capital. For Bourdieu, capital is about social reproduction. In this respect, citizenship and other social and cultural processes of distinction—as practices of social reproduction—link to international migration and the social regulation of labor markets. The chapter is organized into four sections.

scholarly journals The Labor Demand Curve is Downward Sloping: Reexamining the Impact of Immigration on the Labor Market

2019 ◽  
pp. 449-484 ◽  
Author(s):  
George J. Borjas ◽  
Barry R. Chiswick ◽  
George J. Borjas ◽  
Barry R. Chiswick ◽  
George J. Borjas ◽  
...  
Keyword(s):  
Labor Market ◽  
Work Experience ◽  
Demand Curve ◽  
Labor Demand ◽  
Education Experience ◽  
Changes Over Time ◽  
The Impact ◽  
Different Levels ◽  
National Labor Market ◽  
Over Time

Immigration is not evenly balanced across groups of workers that have the same education but differ in their work experience, and the nature of the supply imbalance changes over time. This chapter develops a new approach for estimating the labor market impact of immigration by exploiting this variation in supply shifts across education-experience groups. The author assumes that similarly educated workers with different levels of experience participate in a national labor market and are not perfect substitutes. The analysis indicates that immigration lowers the wage of competing workers: a 10 percent increase in supply reduces wages by 3 to 4 percent.

scholarly journals CHARACTERISTICS OF THE REGIONAL LABOR MARKETS

2019 ◽  
Vol 31 (5) ◽  
pp. 1289-1293
Author(s):  
Metodi Ivanov
Keyword(s):  
Economic Development ◽  
Labor Market ◽  
Labor Markets ◽  
Pension System ◽  
Labor Demand ◽  
Essential Element ◽  
Business Environment ◽  
Southeast Europe ◽  
Active Population ◽  
Productivity And Competitiveness

The development of regional the labor markets must be the result of a coherent and sustainable strategy for economic development with a clear vision of economic structuring and labor demand in the medium term. Regionally aspect, the countries of Southeast Europe are experiencing serious difficulties in securing a quality workforce of specialists with secondary education who are well trained professionals with the necessary communication skills and ability to work with modern technologies. On the other hand, the trend of outflow of specialists from the countries, especially important is the continued emigration of young people as a result of which will emerge not only quantitative but also qualitative workforce problems in the coming years. Government policy should be aimed at seeking ways to stimulate job creation in sectors providing higher productivity and competitiveness rather than those who have traditional and low productive nature. Identifying and taking into account the peculiarities of economic development and the possible impacts on the labor market is becoming an essential element of the process of creating labor market policies that should aim to influence the processes or behavior of the target groups in accordance with the objectives set out and planned to be achieved. The implementation of effective youth activities and youth programs in the regions must to be decision-making process with the active cooperation and partnership of the decentralized and deconcentrated administration, in partnership with the non-governmental sector, the employers' organizations, the vocational schools, the labor offices, the existing centers for qualification and retraining. In Bulgaria there are negative trends in the labor market, which are related to the decrease of the number of the active population, which is accompanied by an increase of the unemployed persons, the persons outside the labor force as well as the discouraged persons, as a result of demographic problems and the crisis is diminishing the active population. About the solving labor market problems requires reforms that need to be pursued in parallel in the fields of labor law, health, education, the pension system, business environment, increasing the efficiency of using public funds, taking into account interregional peculiarities and differences in promotion of investments in opening new high-quality and sustainable jobs in the individual territorial-administrative units (or different regions).

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