The spatial dispersion of economic agents is an immediate determinant of informational imperfections. We investigate how this dispersion creates search frictions and thus rationing. For that, we develop a model of local labour markets in which workers' search efficiency is negatively affected by...

[fre] Our purpose is to survey the main ideas of modern economic theory that can contribute to a better understanding of the segregation and unemployment problems arising within cities. We start by discussing the main contributions of urban economics and of labor economics that can used for our...

Assuming that job search efficiency decreases with distance to jobs, workers’ location in a city depends on spatial elements such as commuting costs and land prices and on labour elements such as wages and the matching technology. In the absence of moving costs, we show that there exists a...