Abstract
Johnston R. J. (1979) On the relationships between regional and national unemployment trends, Reg. Studies 13, 453–464. The frequently-used regression model relating local to national unemployment trends is criticised because it fits an equation of the form y = b (x + y), thereby building-in dependence between the two sides of the equation. Simulations indicate the influence of this on the sampling distributions of the regression equation parameters and it is suggested that interpretation of those parameters should employ the relevant empirical sampling distributions.

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