Abraham 1996 European Commission, Regional Growth and Convergence, Aggregate and Regional Impact, The Single Market Review, Subseries VI: Vo

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1957 1 1999 2 kgw@sfc.keio.ac.jp www.sfc.keio.ac.jp/~kgw/ Corresponding Author; escrime @sfc.keio.ac.jpwww.sfc.keio.ac.jp/ ~escrime/5322 1 2 3 4 7080 90 1995 1998 3 Convergence Criteria Soltwedel 1999 41999 www.sfc.keio.ac.jp/~kgw 109

5 6 7 8 5 Abraham 1996 European Commission, Regional Growth and Convergence, Aggregate and Regional Impact, The Single Market Review, Subseries VI: Volume 1, 1997 6Mundell 1961 2000 1997 P. 35 71994 PP. 88 116 8 http://www.kier. kyoto-u.ac.jp/cces/ 110

9 10 1994 11 12 13 14 15 9 10 200116 4000 16 111994 12 Ibid, 13 Ibid, P. 67 14 labour market pooling 15 Ibid, 16 17 18 99 2000 The Spatial Economy 19 20 Seamless World 21 1994 161997 17 1997 1997 18 Ibid, P. 28 19 Masahisa Fujita, Paul Krugman and Anthony J. Venables 1999 2000 20 21 Ibid, 17 111

66.3 25.4 5.1 3.2 38.5 31.1 17.6 12.9 1994 P. 95 22 2000 Eurostat 23 24 22 1994 P. 93 23 24 25 26 27 28 Cremer, Marchand and Pestieau 1996 Coles and Masters 2000 Learning by doing 29 Reemployment probability proportional hazard 30 25 Jackman, Layard and Savouri 1991 P. 44 UV 26 1995 27 2000 P. 141 28 29 Unlearning by not doing 30 Addison and Portugal 1998 112

OECD 97 1 2 7.0 0.8 3.1 8.6 2.77 4.5 0.5 11.6 3.8 0.33 8.9 3.1 6.4 13.4 2.09 9.2 2.3 6.0 18.8 3.13 12.0 2.3 9.6 16.9 1.76 9.9 4.3 5.9 20.4 3.46 9.6 2.0 4.7 11.6 2.47 12.3 7.4 5.4 25.6 4.74 4.1 0.7 2.9 4.9 1.69 2.3 1.0 0.7 4.0 5.71 5.1 0.5 4.6 6.5 1.41 6.7 0.3 5.5 6.8 1.24 21.1 4.7 16.0 30.0 1.88 7.1 1.5 5.1 9.6 1.88 5.5 1.1 3.0 8.6 2.87 EU 10.7 5.7 2.5 30.0 12.00 OECD 7.1 4.6 0.7 30.0 42.86 OECD 2000 P. 39 31 1 10 47 Eurostat NUTS Nomenclature of Territorial Unit for StatisticsNUTS1 78 NUTS2 211 NUTS3 1039 EU 2 31 Fiorella, Padoa and Schioppa 1991 32 Armstrong and Vickerman 1995 32 Eurostat 2000 P. 109, 110 113

U LTU V U 3 4 U LTU V LTU 9.4 49.1 5.39 13.74 0.38 11.7 60.8 7.40 16.50 0.70 8.8 59.3 4.00 7.59 0.95 5.9 56 11.7 55.3 2.77 10.58 0.74 8.9 50.6 4.66 7.60 0.43 16.1 45 5.59 6.55 0.09 3.3 41.5 1.08 5.26 0.35 11.4 41.3 4.56 5.15 0.76 4.7 39.9 1.34 2.99 0.24 4 37.1 0.86 20.96 0.57 2.4 32.2 6.1 30.3 2.38 6.22 0.46 7.6 29.1 1.76 3.61 0.15 11.5 23.6 4.51 4.03 0.21 5.6 18.6 Eurostat 2000 UV Unemployment Vacancy 33 Jackman, Layard and Savouri 1991UV 34 U V UV 35 Solow 1998 Blanchard and Diamond 3 4 33 Ibid. P. 184 34 Jackman, Layard and Savouri Ibid. PP. 87 93 35 1989 OECD 1995 2000 36 W. H. Beveridge Beveridge 1993 36 Solow 1998 Eurostat EU 114

Blanchard and Katz 1992 40 labour migration movements of labour 37 Mundell 1961 Decressin and Fatas 1995 Abraham 1996 EU 38 EU 39 37 Blanchard and Katz 1992 P. 54 38 EU Objective 1 PPP GDP EU 75 39 Abraham 2000 P. 72 40 41 EU 60 40 Soltwedel, Dohse and Krieger-Boden 1999 P. 50, Figure. 2 EMU 41 Ibid P. 211 Mennes, Tinbergen and Waardenburg 1969 115

EU EU EU 5 69 42 71 EU 1973 42 5 EU Sawada 1992 Boer 2000 70 43 44 80 84 People s Europe 85 87 18 45 80 89EC 92 43 44 451997 P. 95 96 116

46 1997 47 70 2000 12 EU 48 2001 49 46 47 European Commission 1997 48 EU Web www. europa.eu.int 2001 49 http://www.eurolang2001.org/ EU ERDFCohesion Fund 50 GDP 50 117

2000 P. 344 51 Mobility 51 Robbins 1972 PP. 36 38,PP. 70 73 Meade 1952 P. 56 85 1982 IT 52 70 53 1 EC 1982 2 11 1999 3 11 2000 4 26 1995 51995 6 12 2000 7 52 IT SOHO 53 50 118

1995 8 1997 9 EC EC 1982 10 EC 16 1996 11EMU 1997 12 1 241 1993 1 P. 1994 2 P. 1997 3P. J. 2000 4EU, 1998 5A 2000 1 Abraham, F., Regional adjustment and wage flexibility in the European Union, Regional Science and Urban Economics 26, 1996 2 Addison, J. T., and Portugal, P., Some specification issues in unemployment duration analysis, Labour Economics 5, 1998 3 Blanchard, O. J., and Diamond, "The Beveridge Curve, Brookings Papers on Economic Activity, 1989 4 Blanchard, O. J., and Katz, L. F., Regional Evolutions, Brookings Papers on Economic Activity, 1992 5 Cremer, H., Marchand, M., Pestieau, P., The optimal level of unemployment insurance benefits in a model of employment mismatch, Labour Economics 2, 1996 6 Armstrong, H. W., Taylor, J., Regional Economics & Policy, Harvester Weatsheaf, 1993 7 Armstrong, H. W., Vickerman R. W., Editors, Convergence and Divergence Among Regions, 1995 8 Coles, M., and Masters, A., Retraining and longterm unemployment in a model of unlearning by not doing, European Economic Review 44, 2000 9 Decressin J., and Fatas, A., Regional labor market dynamics in Europe, European Economic Review 39, 1995 10 European Commission, Report of the High Panel on the free movement of persons, 1997 11 Eurostat, Regions: Statistical yearbook 2000, 2000 12 Fiorella, Padoa and Schioppa, Mismatch and Labour Mobility. Cambridge University Press, 1991 13 Jackman, R., Layard R., and Savouri, S., Mismatch: a framework for thought, Mismatch and Labour Mobility Edited by Fiorella, Padoa and Schioppa, Cambridge University Press, 1991 14 Krugman, P., and Venables, A., Integration, Specialization and Adjustment, NBPR Working Paper #4559, 1993 15 Meade, T. E., Problems of Economic Union, George Allen & Unwin, 1953 16 Mennes, L. B. M., Tinbergen, J., Waardenburg, J. G., The Element of Space in Development Planning, North Holland Publishing, 1969 17 Mundell, R. A., A Theory of Currency Areas, American Economic Review 51, PP 657 665 1961 18 OECD, Disparities in Regional Labour Markets, Employment Outlook, PP. 31 78, 2000 19 Robbins, L., Economic Planning and International Order, Arno Press, 1972 20 Sawada, M., The Shengen Convention, A Response to a Frontier-Free Europe, EC 12, 1992 21 Solow, R. M., What is Labour-Market Flexibility? What is it Good For?, Keynes Lecture in Economics, The British Academy, 1998 22 Soltwedel, R., Dohse D., and Krieger-Boden, C., EMU Challenges European Labor Markets, IMF Working Paper WP/99/131, 1999 1 http://web.mit.edu/krugman/www/ http://pkarchive.com/ 2 Eurostat EU http://europa.eu.int/comm/eurostat/ 3 http://www.eurolang2001.org/ 4 www.sfc.keio.ac.jp/~escrime/mobility/ 12 22 119

Mobility of People and Industrial Location From a Viewpoint of Regional Economy and Employment Toshiyuki KAGAWA Professor at Faculty of Policy Management, Keio University Yuichi ITO Graduate School of Media and Governance Abstract This research discusses the problem of regional disparities in employment in Europe and surveys related areas with spatial economics. Location and spatial economics raise possibilities that the formation and development of the Single European Market will agglomerate industries in Europe. On the other hand, regional disparities in Europe will encourage the mobility of labour to adjust the structural mismatch of employment. The free movement of people is one main pillar of European integration, while integration process itself may restrains its movement. With respect to the regional labour market, the free movement of people can be at once centripetal and centrifugal forces of industrial location, and can either augment or reduce the mismatch of employment. The authors focus on the attributions and characteristics of people and attempt to analyse the conflicting factors, thereby proposing a frame of reference for future research. Key Words: Free movement of people; industry agglomeration; regional disparities E-mail:kgw@sfc.keio.ac.jp, Homepage:www.sfc.keio.ac.jp/~kgw/ Corresponding Author E-mail:escrime@sfc.keio.ac.jp, Homepage:www.sfc.keio.ac.jp Address:Endo 5322 Fujisawa Kanagawa-ken Japan Keio University Shonan Fujisawa Campus, Kagawa Laboratory 120