Measures, drivers and effects of green employment: evidence from US local labor markets, 2006–2014

Abstract

Abstract This paper explores the nature and the key empirical regularities of green employment in US local labor markets in 2006–2014. The main methodological novelty consists of a new measure of green employment based on the task content of occupations. Descriptive analysis reveals that green employment is pro-cyclical, highly skilled, commands a 4% wage premium and is geographically concentrated. Green employment dynamics positively correlates with local green subsidies within the American Recovery and Reinvestment Act, local green knowledge, and resilience to the great recession. Finally, we find that one additional green job is associated with 4.2 (2.2 in the crisis period) new local jobs in non-tradable non-green activities.