Public Sector Jobs Boost Local Services, Hurt Manufacturing Hubs
The study looked at how public sector jobs impact local job markets. Public sector employment doesn't affect total private sector jobs, but it does change the types of private sector jobs. For every public sector job, 0.5 jobs are created in non-tradable sectors like construction and services, while 0.4 jobs are lost in tradable sectors like manufacturing. Over a longer period, tradable jobs are more affected, leading to a decrease in total private sector employment.