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The Effect of Segregation and Spatial Mismatch on Unemployment: Evidence from France

Author

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  • Selod, Harris
  • Gobillon, Laurent
Abstract
In this paper, we investigate how residential segregation and bad physical access to jobs contribute to urban unemployment in the Paris region. We first survey the general mechanisms according to which residential segregation and spatial mismatch can have adverse labour-market outcomes. We then discuss the extent of the problem with the help of relevant descriptive statistics computed from the 1999 Census of the Population and from the 2000 General Transport Survey. Finally, we estimate the effect of indices of segregation computed at the neighbourhood and municipality levels, as well as job accessibility indices on the labour-market transitions out of unemployment using the 1990-2002 Labour Force Survey. Our results show that neighbourhood segregation is a key factor that prevents unemployed workers from finding a job. These results are robust to potential location endogeneity biases.

Suggested Citation

  • Selod, Harris & Gobillon, Laurent, 2007. "The Effect of Segregation and Spatial Mismatch on Unemployment: Evidence from France," CEPR Discussion Papers 6198, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:6198
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    Cited by:

    1. Claire Dujardin & Harris Selod & Isabelle Thomas, 2008. "Residential Segregation and Unemployment: The Case of Brussels," Urban Studies, Urban Studies Journal Limited, vol. 45(1), pages 89-113, January.
    2. Laurent Gobillon & Harris Selod & Yves Zenou, 2007. "The Mechanisms of Spatial Mismatch," Urban Studies, Urban Studies Journal Limited, vol. 44(12), pages 2401-2427, November.
    3. Laurent Gobillon & Thierry Magnac & Harris Selod, 2011. "The effect of location on finding a job in the Paris region," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 26(7), pages 1079-1112, November.
    4. Stark, Oded & Jakubek, Marcin & Kobus, Martyna, 2015. "Engineering an incentive to search for work: A comparison groups approach," Economics Letters, Elsevier, vol. 132(C), pages 1-4.
    5. Neumark, David & Simpson, Helen, 2015. "Place-Based Policies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 1197-1287, Elsevier.
    6. Pierre-Philippe Combes & Bruno Decreuse & Morgane Laouénan & Alain Trannoy, 2016. "Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market," Journal of Labor Economics, University of Chicago Press, vol. 34(1), pages 107-160.
    7. Martin Koning, 2010. "The Social Cost of Road Congestion in Ile-de-France Region (and France): Empirical Evidences from the Paris Ring-Road," Working Papers halshs-00467888, HAL.
    8. Rathelot, Roland, 2014. "Ethnic differentials on the labor market in the presence of asymmetric spatial sorting: Set identification and estimation," Regional Science and Urban Economics, Elsevier, vol. 48(C), pages 154-167.
    9. Gobillon, Laurent & Magnac, Thierry & Selod, Harris, 2007. "The Effect of Location on Finding a Job in the Greater Paris Area," IZA Discussion Papers 2848, Institute of Labor Economics (IZA).
    10. Yu-Chun Cheng & Jen-Jia Lin, 2014. "Job Accessibility Effects on Apartment Rentals," ERES eres2014_53, European Real Estate Society (ERES).
    11. Jipeng Zhang & Lue Zhan & Chong Lu, 2020. "The long-run effects of poverty alleviation resettlement on child development: Evidence from a quasi-experiment in China," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 43(10), pages 245-284.
    12. Judith K. Hellerstein & Melissa Mcinerney & David Neumark, 2010. "Spatial Mismatch, Immigrant Networks, and Hispanic Employment in the United States," Annals of Economics and Statistics, GENES, issue 99-100, pages 141-167.
    13. Judith K. Hellerstein & David Neumark, 2011. "Employment in Black Urban Labor Markets: Problems and Solutions," NBER Working Papers 16986, National Bureau of Economic Research, Inc.
    14. Benoît Schmutz, 2015. "Spatial sorting of African Immigrants in the French Public Housing Market," The Review of Black Political Economy, Springer;National Economic Association, vol. 42(3), pages 247-270, September.
    15. Martin Koning, 2010. "The Social Cost of Road Congestion in Ile-de-France Region (and France): Empirical Evidences from the Paris Ring-Road," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00467888, HAL.
    16. Zenou, Yves, 2009. "Urban search models under high-relocation costs. Theory and application to spatial mismatch," Labour Economics, Elsevier, vol. 16(5), pages 534-546, October.
    17. Leonardo Nicoletti & Mikhail Sirenko & Trivik Verma, 2023. "Disadvantaged communities have lower access to urban infrastructure," Environment and Planning B, , vol. 50(3), pages 831-849, March.
    18. Boje-Kovacs, Bence & Egsgaard-Pedersen, Aske & Weatherall, Cecilie D., 2021. "Residential mobility and persistent neighborhood deprivation," Journal of Housing Economics, Elsevier, vol. 53(C).
    19. Jeroen Bastiaanssen & Daniel Johnson & Karen Lucas, 2022. "Does better job accessibility help people gain employment? The role of public transport in Great Britain," Urban Studies, Urban Studies Journal Limited, vol. 59(2), pages 301-322, February.
    20. Winkler, Oliver, 2014. "Transitions into Stable Employment: The Effect of Relative Group Size for the Immigrant Second Generation in France," MPRA Paper 62967, University Library of Munich, Germany.
    21. Rodríguez, D. & Restrepo, V. & Vivas, H. & Jaramillo, C., 2021. "Brechas de accesibilidad de la población pobre a los centros de empleo en Santiago de Cali (Colombia)," Documentos de trabajo - Alianza EFI 19592, Alianza EFI.
    22. Hyunjoo Eom, 2022. "Does Job Accessibility Matter in the Suburbs? Black Suburbia, Job Accessibility, and Employment Outcomes," Land, MDPI, vol. 11(11), pages 1-21, November.
    23. Zenou, Yves, 2007. "High Relocation Costs in Search-Matching Models: Theory and Application to Spatial Mismatch," IZA Discussion Papers 2739, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    Residential segregation; Sensitivity analysis; Spatial mismatch; Urban unemployment;
    All these keywords.

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns

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