Local labor markets and natural resources: A synthesis of the literature

A primary way that natural resources affect a locality is through the demand for labor, with greater extraction requiring more workers. Shifts in labor demand can be measured through changes in employment and earnings, the main labor market outcomes, or through changes in the population and income,...

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Bibliographic Details
Published in:Journal of economic surveys 2018-04, Vol.32 (2), p.469-490
Main Authors: Marchand, Joseph, Weber, Jeremy
Format: Article
Language:English
Subjects:
Arbeitskräftebedarf
Asien
Australien
Auswirkung
Beschäftigungseffekt
Bildung
Earnings
Economic models
Educational attainment
Einkommenseffekt
Employment
Erdgas
Erdölgewinnung
Extraction
Investition
Kanada
Kohlebergbau
Labor demand
Labor market
Lateinamerika
Literature reviews
Local labor markets
Locality
Measurement
Meta-analysis
Natural resources
Poverty
Regionaler Arbeitsmarkt
Resource booms
Ressource
Sektorale Verteilung
Spillover effect
Steine und Erden
USA
Verteilungseffekt
Ökonomie
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Summary:A primary way that natural resources affect a locality is through the demand for labor, with greater extraction requiring more workers. Shifts in labor demand can be measured through changes in employment and earnings, the main labor market outcomes, or through changes in the population and income, more generally. These changes may spillover into the nonresource economy, leading to greater overall effects or possibly crowd out; be spread unequally across the population, thereby altering the distribution of income and the poverty rate; or influence educational attainment, as people choose between additional schooling and work. In this review, the literature linking natural resources to local labor markets is synthesized by organizing existing studies according to their resource measurement and the outcomes that they consider. This synthesis provides an accessible guide to a literature that has boomed in recent years. It also identifies promising avenues for future research and lays a foundation to further generalize the evidence through an eventual meta‐analysis.
ISSN:0950-0804
1467-6419
1467-6419
DOI:10.1111/joes.12199