Author: Publisher:
ISBN:
Category : Home ownership
Languages : en
Pages : 68
Book Description
Homeownership and Unemployment
Author: Homeownership and Unemployment
Author: George Mawuli- AkpandjarPublisher:
ISBN:
Category :
Languages : en
Pages : 128
Book Description
This dissertation consists of three papers on the effect of homeownership on labor market outcomes. In the first paper, I developed a one-sector two-region endogenous job search model and show that when jobs arrive from both local labor market and non-local labor market, homeowners: are less likely to be unemployed than renters; and have higher overall search intensity and exit rate than renters. I then estimate the effect of homeownership on unemployment using a panel data set aggregated from the American Community Survey data from 2003 to 2011 and use relative cost of owning a home as instrument for homeownership. I also estimate models at the individual level. Regression results show that homeownership is negatively and significantly related to unemployment confirming the theoretical predictions. These results are robust to different estimation methods and specifications. The second paper evaluates the effect of homeownership on unemployment spell using the March Current Population Survey (CPS) data 1990 to 2013. Using duration models, I find that when transition from unemployment to different types of employment (full time and part-time) is ignored, homeownership decreases the probability of exiting unemployment. However, when the transition to different types of employment is considered, homeowners compared to renters have a lower probability of exit into full-time employment but have a higher probability of exit into part-time employment. Results from competing risk models when the transition into full-time and part-time employments are modeled simultaneously also exhibit similar patterns. The final paper investigates job search intensity by unemployed homeowners and renters in the US using the American Time Use Survey (ATUS) data from 2003 to 2013. I use Ordinary Least Squares and two-limit Tobit methods to estimate my models. The findings from regression results across different specifications of the two models estimated using the full sample shows that, on average, homeowners search for jobs less intensively compared to renters. However, when the sample is disaggregated into different unemployed groups, I find that while job losers and temporary layoff homeowners search for jobs more intensively than renters, homeowners who are re-entrant and job leavers search for jobs less intensively than renters.
Homeownership and the Labour Market in Europe
Author: Casper van EwijkPublisher: OUP Oxford
ISBN: 0191562513
Category : Business & Economics
Languages : en
Pages : 267
Book Description
Increasing labour market flexibility is at the top of the European agenda. A new and challenging view is a lack of mobility in the labour market may arise from rigidities in the housing market. The research in this book has been inspired by the intriguing hypothesis put forward by Andrew Oswald that homeownership may be a hindrance to the smooth working of the labour markets, as homeowners tend to be less willing to accept jobs outside their own region. This book brings together leading economists from across Europe to analyse the interaction between housing markets and labour markets. In the EU homeownership rates have been on the increase, often as a result of government policies, making the barriers that homeownership creates in terms of labour mobility increasingly important. This book shows on the one hand, at the individual level, that homeownership limits the likelihood of becoming unemployed and increases the probability of finding a job once unemployed. On the other hand, the transaction costs inherent in the housing market and homeownership hamper job-to-job changes and increase unemployment at the country level. This insight provides a clear policy message to European policymakers: reform in the housing market, aimed at lowering transaction costs and providing less generous subsidies for homeowners could be an effective instrument for reducing unemployment and improving labour market flexibility.
Homeownership and unemployment : the roles of leverage and public housing
Author: Homeownership and Unemployment
Author: The Impact of Homeownership on Unemployment in the Netherlands
Author: Aico Van VuurenPublisher:
ISBN:
Category : Home ownership
Languages : en
Pages : 58
Book Description
The Effect of Homeownership on Unemployment Spells
Author: George AkpandjarPublisher:
ISBN:
Category :
Languages : en
Pages : 38
Book Description
This paper provides new evidence on the effect of homeownership on unemployment spells by disaggregating exit from unemployment into full-time and part-time employment using the March Current Population Survey (CPS) data from 1990 to 2013. Using duration models, I find that when transition from unemployment to different types of employment is ignored, homeownership decreases the exit rate from unemployment. However, when the transition to different types of employment is considered, homeowners have lower rates of exit into full-time employment than renters but have higher rates of exit into part-time employment. Competing risk model that simultaneously modeled the transition into full-time and part-time employments also have similar estimates. These results are robust to different specifications and have policy implications.
Homeownership, Unemployment and Commuting Distances
Author: Yuval KantorPublisher:
ISBN:
Category :
Languages : en
Pages :
Book Description
According to Oswald's hypothesis homeowners experience more problems in finding a new job after becoming unemployed because their moving costs are higher than those of renters. Empirical research has revealed that this effect is counteracted by the job search behavior of unemployed homeowners: they accept a job on the local labor market, that is, a job that does not force them to move to a different residential location, more frequently than unemployed renters. One possible explanation of this result is that the local labor market is larger for homeowners than for renters, in the sense that they are willing to accept longer commutes. This suggests that the longer commutes of homeowners (a well known empirical fact) are partly caused by higher moving costs. In this paper we analyze the validity of this explanation by investigating the relationship between homeownership and commutes while controlling for other variables, and possible effects of selection and heterogeneity.
Mortgage Market, Housing Tenure Choice and Unemployment
Author: Gaetano LisiPublisher:
ISBN:
Category :
Languages : en
Pages :
Book Description
Following the evidence that housing costs may impair the proper functioning of the labour market, this paper develops a search and matching model where trading frictions in the mortgage, housing and labour markets interact with each other. Precisely, the employment status affects the probability to get a mortgage. In turn, the granting or not of the mortgage affects the housing tenure choice (tenancy or owner occupancy). Finally, the housing tenure choice affects the unemployment rate. It will show that tenants generate a greater effort in searching for a job than homeowners, since employed workers have a greater chance of getting a mortgage to buy a home. As a result, the positive correlation between the homeownership and unemployment rates emerges as quite consistent with the evidence that homeowners tend to be unemployed less often than tenants.
Homeownership, Mobility, and Unemployment
Author: Hana M. BroulikovaPublisher:
ISBN:
Category :
Languages : en
Pages : 51
Book Description
Homeownership is believed to cause higher unemployment. This is because homeowners face higher mobility costs that limit their job search to local labor markets. Empirical tests of this prediction have yielded mixed results so far, possibly due to the endogeneity of homeownership. This paper documents that the privatization of public housing in Central and Eastern Europe after the fall of the Iron Curtain resulted in a quasi-experimental assignment of homeownership to individual households. This facilitates a new test of the effects of homeownership on mobility and unemployment. We find only weak evidence that homeowners are less willing to move and no evidence of higher unemployment risks relative to renters.