Local labour markets in New South Wales: fact or fiction?

Spatially disaggregated data are typically based on administrative convention, rather than the identification of functional economic areas, which can compromise the interpretation of spatial data. Using measures of closure and interaction based on commuting patterns, Coombes et al (1986) developed an algorithm to identify UK Local Labour Markets (LLMs) based on Census data. In this paper we refine this algorithm to undertake a preliminary investigation of whether meaningful LLMs within NSW can be generated using Journey to Work data by Statistical Local Area from the 2001 Census. The extent to which these LLMs differ by gender and groups of occupations will be explored. The trade off between high rates of closure and high interaction rates of areas within LLMs will be considered, along with the extent to which the LLMs coincide with the ABS NSW Statistical Regions and the regions devised by the Bureau of Transport and Regional Economics.

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