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AN INTERREGIONAL LABOUR MARKET MODEL INCORPORATING VACANCY CHAINS AND SOCIAL SECURITY
Author(s) -
Oosterhaven Jan,
Folmer Hendrik
Publication year - 1985
Publication title -
papers in regional science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.937
H-Index - 64
eISSN - 1435-5957
pISSN - 1056-8190
DOI - 10.1111/j.1435-5597.1985.tb00921.x
Subject(s) - social security , economics , job creation , labour economics , growth model , macroeconomics , market economy
This paper deals with three aspects of interregional demo‐economic models which are important with respect to the analysis of regional labour market developments. First, attention is paid to forecasts of the exogenous regional variables, such as investments, exports, etc. Because data at the regional level are usually scarce, it is suggested to make these projections by means of a top‐down model. Second, the social security sector is incorporated in the model framework, because changes in social security benefits, which are common in many Western countries nowadays, usually have substantial impacts on regional economic and demographic structures. Third, a vacancy chain model instead of a simple employment growth equation is tied to the standard demo‐economic model framework. In this way not only employment growth hut also migration, job mobility and related income effects can be taken into account.