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Relocation of state services and regional unemployment in the Netherlands

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Summary

In addition to the stimulation of the less developed regions in The Netherlands by regional investment subsidies and infrastructural improvement, the Dutch government pursues a relocation policy with respect to government activities. Public institutions have been or are to be moved from the government center of The Hague to less prosperous regions in the north, east and south of The Netherlands. This article describes the main characteristics of the interregional input-output model that has been developed to calculate the employment and unemployment effects of relocation policy. Further the results of some model exercises are given. Three variants are calculated: a central variant in which the migration rate of civil servants is assumed to be equal to the actual observed value of 15% and two extreme variants in which the migration rates are assumed to be 100% and 0% respectively.

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This article is a revised version of a paper presented at the twenty-second European Congress of the Regional Science Association; Groningen, The Netherlands; 24–27 August, 1982.

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van den Noord, P.J. Relocation of state services and regional unemployment in the Netherlands. De Economist 132, 451–467 (1984). https://doi.org/10.1007/BF02380343

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