Focus on neighbourhood effects (NE) on economic outcomes:

1. Neighborhood effects as unintended side effectsEvidence from a qualitative case studyFenne PinksterDepartment of GeographyUniversiteit van Amsterdamf.m.pinkster@uva.nl

2. Presentation Focus on neighbourhood effects (NE) on economic outcomes: • Very brief summary of main conclusions in multivariate statistical studies • Problems of translation • Empirical evidence of NE mechanisms • Implications for explanatory framework of NE

3. NE on economic outcomes Multivariate stat. studies in the European context found: An association b/w neighborhood income mix and individual economic outcomes. higher % of low income households -> lower individual economic outcomes (change in income over time, chance of unemployment, duration of unemployment) Stronger associations at lower spatial scales Physical distance to own/other income groups important Differences between residents: For some NE = minimal; for others NE = substantial

4. How to understand these findings? What happens in people’sdaily lives thatleads to relativeeconomicdisadvantage over time? Studymechanismsorcausalpathwaysbehind NE How to translate quantitativefindings to ‘real’ people in ‘real’ contexts? How are outcomesrelated to concrete behavior? Whichpeople are most affected and why? What type of neighborhoodsgenerate the strongest ‘externalities’ and why?

5. Studying NE in a ‘real life’ context (1) Research question: How do local social processes in disadvantaged neighbourhoods shape the economic prospects of individual residents? • Social isolation hypothesis: ‘poor economic performance’ can be explained by the fact that residents rely on disadvantaged neighbors to find workis • Negative socialization hypothes: high levels of unemployment in disadvantaged neighborhoods are related to deviant work ethics of residents (“cultures of unemployment”) Research design: • An ‘extreme’ case study in a low income neighborhood in the Netherlands

6. Transvaal-Noord

7. Studying NE in a ‘real life’ context (2) • Combination of methods: • Survey on social networks (comparative) • Interviews with key persons • (Partly retrospective) in depth interviews with low income residents • Many informal conversations, observations, attendance of neighborhood events and meetings • Secondary information through local media, policy documents, etc

8. Conclusions Evidence: Informal social relations in Transvaal play a role in shaping ‘unfavorable’ economic outcomes over time (labor market participation and type of job) Sometimes these outcomes are directly related to residents’ job search strategies or their deviant work ethics However: These outcomes can also be related to actions and choices with respect to other domains of residents’ lives.  negative consequences as side effects Both types of actions ‘make sense’ from the perspective of residents’ daily life  negative consequences unintended and unforeseen

9. Neighborhood-based social networks (1) Survey: Social networks of social housing residents are firmly based in the neighborhood These networks are constricted in terms of socio-economic composition They are also constricted along other dimensions Summary statistics for personal characteristics of network members (N=346)

10. The role of local social contacts (1) Survey: Local social contacts are an important source of social support This is also the case for work! Support measured by resource generator survey instrument (N=346)

11. Social isolation (1) Hypothesis: limited access to informal job information How social housing residents look for work:

12. Social isolation (2) Consequences of informal job search strategies: For some: unemployment For others: short term access to the labor market But: access to jobs limited in scope Limits future career opportunities due to Lack of work experience Little development of ‘soft’ skills and language skills Work amongst friends -> further constriction of social networks Nevertheless, informal job search strategies make sense from the perspective of residents’ daily lives: Easy entrance to the labor market Reflection of the more general role of local contacts in providing different forms of social support

13. Negative socialization Hypothesis: deviant work ethics Evidence: • Sometimes actions and choices concerning work reflect ‘deviant’ work ethics upheld within residents’ networks • More often these choices reflect norms and values with respect to ‘other’ life domains So what role does neighbourhood play?

14. To summarize Causal pathways for NE on economic outcomes result from complex processes in daily lives: • Negative outcomes are not necessarily related to concrete economic actions • Nevertheless, actions that lead to negative economic outcomes are shaped by the sociospatial context in different ways • From this perspective, NE can be seen as one of the ‘dark sides’ of (local) social capital or as unintended side effects

15. Some reflections The current explanatory framework: Reproduces a narrative of social pathologies Presents neighbourhood effects as a separate phenomenon Treats NE as similar across neighbourhoods (and across social groups)

16. Thoughts in progress… so all comments and questions are welcome!