Neighbourhoods, families and youth employment outcomes: a study of metropolitan Melbourne

Youth unemployment in Australia is considered to be a significant problem. However, the burden of unemployment is not borne equally by neighborhoods within metropolitan regions. The following study utilizes data from the 1991 and 1996 Censuses of Population and Housing to determine the impact of family and neighborhood on youth employment outcomes in the Melbourne metropolitan region. The evidence shows that demographic characteristics of neighborhoods are a significant causal factor in the employment outcomes of youths. It is also apparent that the economic recovery that has taken place since 1991 has not benefited teenagers living in areas with a low socio-economic status. The implication for policy is that the targeting of individuals or groups at risk of unemployment may not be appropriate unless the relationship between youth unemployment, region, and demography are taken into account.