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Staff Publications

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    'Staff publications' is the digital repository of Wageningen University & Research

    'Staff publications' contains references to publications authored by Wageningen University staff from 1976 onward.

    Publications authored by the staff of the Research Institutes are available from 1995 onwards.

    Full text documents are added when available. The database is updated daily and currently holds about 240,000 items, of which 72,000 in open access.

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Record number 558511
Title A regional unemployment model simultaneously accounting for serial dynamics, spatial dependence and common factors
Author(s) Halleck Vega, Sol Maria; Elhorst, J.P.
Source Regional Science and Urban Economics 60 (2016). - ISSN 0166-0462 - p. 85 - 95.
Publication type Refereed Article in a scientific journal
Publication year 2016
Keyword(s) regional unemployment - cross-sectional dependence - dynamic spatial panel models - The Netherlands
Abstract Regional unemployment rates tend to be strongly correlated over time, parallel the national unemployment rate, and be correlated across space. We address these key stylized facts by linking different strands of literature into a unified methodology to investigate regional unemployment disparities. This methodology simultaneously accounts for serial dynamics, spatial dependence and common factors, also known as weak and strong cross-sectional dependence. We apply this approach using provincial level data for the Netherlands. The substantial and persistent division between high and low unemployment clusters makes it an interesting case, and data availability since the early 1970s enables a comparison between prior periods of down turn and recovery to the resent economic crisis. It is found that approaches that do not simultaneously account for serial dynamics, spatial dependence and common factors, or that ignore one of these issues, may lead to biased interference.
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