An Empirical Analysis of Natural and Cyclical Unemployment at the Provincial Level in Spain

An Empirical Analysis of Natural and Cyclical Unemployment at the Provincial Level in Spain Appl. Spatial Analysis https://doi.org/10.1007/s12061-018-9262-x An Empirical Analysis of Natural and Cyclical Unemployment at the Provincial Level in Spain Jaime Cuéllar-Martín & 1 1 Ángel L. Martín-Román & Alfonso Moral Received: 27 July 2017 /Accepted: 18 May 2018 Springer Science+Business Media B.V., part of Springer Nature 2018 Abstract Differences in regional unemployment rates, as well as their formation mechanism and persistence, have given rise to many papers in recent decades. The present work contributes to this strand of literature from two different perspectives. In the first part of our work, we follow the methodological proposal put forward by Hofler and Murphy (1989)and Aysun et al. (2014). We use a stochastic cost frontier to break down actual Spanish provincial unemployment (NUTS-3) into two different estimation components: the first associated with aggregate supply side factors, and the other more related to aggregate demand side factors. The second part of our research analyses the existence of spatial dependence patterns among Spanish provinces in actual unemploy- ment and in the two above-mentioned components. The decomposition carried out in the first part of our research tells us what margin policymakers have when dealing with unemployment reductions by means of aggregate supply and aggregate demand poli- http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Applied Spatial Analysis and Policy Springer Journals

An Empirical Analysis of Natural and Cyclical Unemployment at the Provincial Level in Spain

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Publisher
Springer Netherlands
Copyright
Copyright © 2018 by Springer Science+Business Media B.V., part of Springer Nature
Subject
Social Sciences; Human Geography; Landscape/Regional and Urban Planning; Regional/Spatial Science
ISSN
1874-463X
eISSN
1874-4621
D.O.I.
10.1007/s12061-018-9262-x
Publisher site
See Article on Publisher Site

Abstract

Appl. Spatial Analysis https://doi.org/10.1007/s12061-018-9262-x An Empirical Analysis of Natural and Cyclical Unemployment at the Provincial Level in Spain Jaime Cuéllar-Martín & 1 1 Ángel L. Martín-Román & Alfonso Moral Received: 27 July 2017 /Accepted: 18 May 2018 Springer Science+Business Media B.V., part of Springer Nature 2018 Abstract Differences in regional unemployment rates, as well as their formation mechanism and persistence, have given rise to many papers in recent decades. The present work contributes to this strand of literature from two different perspectives. In the first part of our work, we follow the methodological proposal put forward by Hofler and Murphy (1989)and Aysun et al. (2014). We use a stochastic cost frontier to break down actual Spanish provincial unemployment (NUTS-3) into two different estimation components: the first associated with aggregate supply side factors, and the other more related to aggregate demand side factors. The second part of our research analyses the existence of spatial dependence patterns among Spanish provinces in actual unemploy- ment and in the two above-mentioned components. The decomposition carried out in the first part of our research tells us what margin policymakers have when dealing with unemployment reductions by means of aggregate supply and aggregate demand poli-

Journal

Applied Spatial Analysis and PolicySpringer Journals

Published: Jun 5, 2018

References

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