Rent control and unemployment duration

• 成果类型: Article
• 署名作者: Svarer, M; Rosholm, M; Munch, JR
• 署名单位: Aarhus University; University of Copenhagen
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2004.11.003
• 发表日期: 2005
• 页码: 2165-2181
• 关键词: rent control; Unemployment duration; search model

摘要

In this paper we analyse how rent control affects the duration of individual unemployment. In a theoretical search model we distinguish between two effects of rent control. On one hand, rent control reduces housing mobility and hence mobility in the labour market. On the other hand, to maintain rent control benefits, unemployed individuals are more likely to accept job offers in the local labour market. Based on a rich Danish data set, we find that the probability of finding a local job increases with the rent control intensity of the housing unit, whereas the probability of finding a job outside the local labour market decreases with the rent control intensity. (c) 2004 Elsevier B.V. All rights reserved.