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    This paper explores the spillover effects of job losses via input-output linkages during the Great Recession. Exploiting exogenous variation in tradable employment shocks across US counties, the paper finds that job losses in a county's tradable industries cause further job losses in the county's supporting services. A 10% exogenous decline in tradable employment reduces supporting industries' employment by 3.1%. In addition, a county's regional supporting services are relatively less affected by its tradable job losses than its local supporting services, reinforcing the argument that the spillovers are due to input-output linkages. © The Author(s), under exclusive licence to Springer-Verlag GmbH Germany, part of Springer Nature 2022.

    Citation

    Ha Nguyen, Shawheen Rezaei, Divya Agarwal. The great recession and job loss spillovers: impact of tradable employment shocks on supporting services. The Annals of regional science. 2022;68(3):789-815


    PMID: 35068666

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