Homeownership, Social Renting, and Labour Mobility across Europe

Thomas de Graaff, Michiel van Leuvensteijn, Casper van Ewijk
(2009) In Homeownership and the Labour Market in Europe, Casper van Ewijk, Michiel van Leuvensteijn (eds), Oxforde University Press, ch. 3. pp. 53-81

DOI Online

European unemployment is the main focus of this chapter. The chapter looks at various transaction costs such as financial, psychological, social, cultural, religious, and ethnic transaction costs. This chapter describes the differences in residence mobility patterns and social renting institutions in several countries. The chapter asserts that even if social leasing and privately owned residences encourage housing transaction expenditures, only renting heightens a person’s probability of becoming unemployed. Potential justifications would be related to the relative returns of investment as well as the disadvantages perceived by both parties — homeowners and social renters. It would be interesting to explore the effects of these spending habits on the individual outflow of unemployment.