Commuting barriers to low-wage employment
Document Type
Article
Publication Date
1-1-2024
Abstract
Lack of access to affordable transportation has been hypothesized to be a barrier to employment among low-wage workers. We build a structural job search model to investigate how commuting costs influence the employment decisions of low-wage workers in the United States, and whether differences in commuting by race and education can explain observed disparities in employment. We find that commuting itself poses a significant barrier to overall low-wage employment, as the associated costs are high relative to potential wages. However, we find that inter-group differences in commuting costs account for a much smaller fraction of inter-group employment disparities than do differences in other labor market factors such as the wage offer distribution and offer arrival rates.
Publication Source (Journal or Book title)
Regional Science and Urban Economics
Recommended Citation
Abrahams, S., & Mabli, J. (2024). Commuting barriers to low-wage employment. Regional Science and Urban Economics, 104 https://doi.org/10.1016/j.regsciurbeco.2023.103970