ABSTRACT

This chapter examines the influence of relocation behaviour on commuting behaviour in a model with market imperfections. It discusses the effect of the geographical structure on commuting behaviour. The chapter demonstrates that workers voluntarily accept commuting costs which are not compensated for by some characteristics of jobs and residences. The reason for this is that workers realise that commuting costs are temporary because they may move job or residence in the future. The basic assumption of the search model is that a job is entirely characterised by the wage and the commuting costs. The chapter discusses the effect of the geographical structure on commuting behaviour according to the search model. One of the implications of the search model is that if potential employers and dwellings are more homogeneously distributed over space, future job and residence relocations are more significant as a factor which determines commuting behaviour.