ABSTRACT

Theoretical and empirical mobility studies suggest that residential and job mobility intensities vary according to the level of commuting distance. This chapter provides a framework which includes search in the labour and housing market. It focuses on the optimal strategy and the relationship between job and residential mobility. The chapter discusses the general belief that workers first move job and then move residence. The relationship between job mobility, residential mobility and commuting is certainly not easy to comprehend. For example, a job move will affect future residential moving behaviour, whereas the expectation of a residence move will affect the decision to move job. A large number of transitions involve workers who are fired and become involuntarily nonemployed; whereas other transitions may involve workers who leave the labour market permanently. Although the nonemployed period may be very short compared to the time spent employed, the effect on on-the-job mobility may be substantial.