Moving to Opportunity? The Geography of the Foreclosure Crisis and the Importance of Location

C. Makridis, M. Ohlrogge
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引用次数: 6

Abstract

Over 6 million households experienced foreclosure during the financial crisis. Where did they move, how did they fare and why? First, we create a new longitudinal dataset between 2006 and 2011 from households’ date of foreclosure to their relocation. Despite significant heterogeneity in mobility outcomes, we find that individuals move to, on average, higher quality locations. However, these locations are sometimes worse than what a household would have chosen at random, on average, within the same state. Second, to investigate the source behind these plausibly suboptimal moves, we quantify the contributions of three different hypotheses—(i) local labor market conditions, (ii) local composition effects and (iii) state foreclosure institutions—toward mobility outcomes. Third, we find that individuals who move counties relocate to areas with 2.3% higher income, relative to those moving across census tracts in the same county. In sum, while our results suggest that the average foreclosed household ‘moved toward opportunity’, labor market frictions can play an important role in mediating the reallocation of labor over a business cycle.
搬去机遇号?丧失抵押品赎回权危机的地理位置和位置的重要性
超过600万户家庭在金融危机期间丧失了抵押品赎回权。他们搬到哪里去了?他们过得怎么样?为什么?首先,我们创建了一个新的纵向数据集,从2006年到2011年,从家庭的止赎日期到他们的搬迁。尽管流动性结果存在显著的异质性,但我们发现,平均而言,个人迁移到质量更高的地方。然而,这些地点有时比一个家庭在同一州内随机选择的平均位置更糟糕。其次,为了调查这些看似次优的变动背后的原因,我们量化了三种不同假设——(i)当地劳动力市场状况,(ii)当地构成效应,(iii)国家止赎机构——对流动性结果的贡献。第三,我们发现,与在同一县的人口普查区搬家的人相比,迁居到收入高2.3%的地区的个人。总而言之,虽然我们的研究结果表明,平均丧失抵押品赎回权的家庭“走向了机会”,但劳动力市场摩擦可以在商业周期中调解劳动力的再分配方面发挥重要作用。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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