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Title: Do Dynamic Business Environments Differentially Attract Highly and Less Educated Labor Force Participants? Evidence from the NLSY97
Resulting in 1 citation.
1. Schreiner Wertz, Sydney
Do Dynamic Business Environments Differentially Attract Highly and Less Educated Labor Force Participants? Evidence from the NLSY97
Working Paper, Social Science Research Network, August 2022.
Also: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4182932
Cohort(s): NLSY97
Publisher: Social Science Electronic Publishing, Inc.
Keyword(s): College Graduates; Geocoded Data; High School Completion/Graduates; Local Labor Market; Migration

Permission to reprint the abstract has not been received from the publisher.

Using individual-level, geocode data from the National Longitudinal Survey of Youth's 1997 cohort, I ask whether business dynamism in local labor markets, defined as the rates of job creation and establishment entry, affects the location decisions of labor force participants, and I examine how effects differ for highly and less educated labor force participants. I find that a one standard deviation increase in business dynamism is associated with a 2 to 4 percent increase in probability a college graduate chooses a metropolitan statistical area and an 8 to 15 percent decrease for high school graduates with no college experience. These results support recent findings documenting a decrease in responsiveness to local labor market conditions and suggest that incentivizing job creation in local labor markets may not be enough to offset the trend of declining internal migration in the United States.
Bibliography Citation
Schreiner Wertz, Sydney. "Do Dynamic Business Environments Differentially Attract Highly and Less Educated Labor Force Participants? Evidence from the NLSY97." Working Paper, Social Science Research Network, August 2022.