Spatial variations and clustering in the rates of youth unemployment and NEET: A comparative analysis of Italy, Spain, and the UK

Abstract

We investigate the “determinants” of spatial variations in youth unemployment and NEET rates, and the presence of spatial clusters, for Italy, Spain and the UK. We aggregate Labour Force Survey data for the period 1993–2018 to a “regional” level. We find that youths are sensitive to aggregate labor market conditions and a discouraged worker effect. In the UK and Spain, temporary jobs are more likely to be preferred to part-time jobs, whereas in Italy the opposite occurs. There is evidence of spatial clustering of youth unemployment and NEET rates. We discuss the implications for place-based regional and labor market policies.