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The Annals of Regional Science

The great recession and job loss spillovers: impact of tradable employment shocks on supporting services

  • 18-01-2022
  • Original Paper
Published in:
Authors
Ha Nguyen
Shawheen Rezaei
Divya Agarwal
Published in
The Annals of Regional Science | Issue 3/2022

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Abstract

The paper investigates how job losses in the tradable sector propagated to supporting service industries during the Great Recession. It employs a novel identification strategy, using Bartik job losses as an instrument to capture exogenous job losses. The study finds that a 10% decline in tradable jobs led to a 3.12% decline in supporting services employment, with more significant spillovers in local supporting sectors. This research contributes to understanding the cascading effects of job losses and the importance of input–output linkages in economic downturns.
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previous article Fiscal decentralization, regional disparity, and the role of corruption
next article Correction to: The effect of bank branch closures on new firm formation: the Swedish case
Title
The great recession and job loss spillovers: impact of tradable employment shocks on supporting services
Authors
Ha Nguyen
Shawheen Rezaei
Divya Agarwal
Publication date
18-01-2022
Publisher
Springer Berlin Heidelberg
Published in
The Annals of Regional Science / Issue 3/2022
Print ISSN: 0570-1864
Electronic ISSN: 1432-0592
DOI
https://doi.org/10.1007/s00168-021-01104-8
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