De Fraja, G., Matheson, J. and Rockey, J. (2021) Zoomshock : the geography and local labour market consequences of working from home. Covid Economics (64). pp. 1-41.
Abstract
The Covid-19 health crisis has led to a substantial increase in work done from home, which shifts economic activity across geographic space. We refer to this shift as a Zoomshock. The Zoomshock has implications for locally consumed services; much of the clientele of restaurants, coffee bars, pubs, hair stylists, health clubs, and the like located near workplaces is transferred to establishments located near where people live. In this paper we measure the Zoomshock at a very granular level for UK neighbourhoods. We establish three important empirical facts. First, the Zoomshock is large; many workers can work-from-home and live in a different neighbourhood than they work. Second, the Zoomshock is very heterogeneous; economic activity is decreasing in productive city centres and increasing residential suburbs. Third, the Zoomshock moves workers away from neighbourhoods with a large supply of locally consumed services to neighbourhoods where the supply of these services is relatively scarce. We discuss the implications for aggregate employment and local economic recovery following the Covid-19 health crisis.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2021 The Authors. This is an author-produced version of a working paper subsequently published in Covid Economics. For re-use permissions, please contact the authors. |
Keywords: | Covid-19; lockdown; work-from-home; local labour markets |
Dates: |
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Institution: | The University of Sheffield |
Academic Units: | The University of Sheffield > Faculty of Social Sciences (Sheffield) > Department of Economics (Sheffield) |
Depositing User: | Symplectic Sheffield |
Date Deposited: | 08 Jan 2021 07:25 |
Last Modified: | 18 Jan 2021 07:49 |
Published Version: | https://cepr.org/content/covid-economics |
Status: | Published |
Publisher: | CEPR - Centre for Economic Policy Research |
Refereed: | Yes |
Related URLs: | |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:169813 |