Local Advantage in a Global Context
- New Horizons in Regional Science series
Edited by Charlie Karlsson, Börje Johansson and Roger R. Stough
Chapter 7: Free Versus Monitored Job Search
in Sweden Michael Olsson Both jobseekers and vacancies are spatially distributed. A jobseeker has accessibility to vacancies and a vacancy has accessibility to applicants, and these accessibility measures vary across locations. Left alone, an individual most often prefers to search for a job close to the present home address. The unemployment benefit rules state rather strict mobility requirements. Using these rules changes the accessibility measures at all places. In other words, monitoring job search affects both the search intensity and the level of competition. This directly affects where a jobseeker finds a job. It is shown that an increased mobility follows from a strict usage of the rules. The increased mobility of individuals implies additional transfer of knowledge and ideas. 7.1 INTRODUCTION The accessibility concept has been used in many different studies: Johansson et al. (2002) study labour market integration, Johansson et al. (2003) study commuting, Andersson and Ejermo (2005) study knowledge sources and innovativeness of corporations, Karlsson and Olsson (2006) study how to define functional regions, Johansson and Karlsson (2007) study R&D and export diversity, and Andersson and Gråsjö (2009) study representations of space in empirical models. Geographical mobility is often mentioned as a key method to improve the outcome on the labour market. Labour mobility is fundamental in the Swedish unemployment benefit rules (IAF, 2004; Regeringen, 2006). Both jobseekers and vacancies are spatially distributed. Given a job-search strategy, the accessibility to vacancies varies with residence location and the accessibility to applicants varies with firm location. In...
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