Graduation Year

2015

Date of Submission

4-2015

Document Type

Campus Only Senior Thesis

Degree Name

Bachelor of Arts

Department

Economics

Reader 1

Manfred Keil

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© 2015 Danmai Xiang

Abstract

The thesis attempts to find the determinants of unemployment rates for a geographical area, the Inland Empire. San Bernardino and Riverside County, located east of Los Angeles, are home to over 4 million people. After reviewing the literature on the determinants of unemployment and the relevance of human capital theories, I develop a human capital index and apply it to the 36 cities in Inland Empire. While some of the control variables are found to be important determinants of unemployment, the human capital index appears to dominate as an explanatory factor. The study concludes with a policy implications.

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