We study the causal effect of liquidity constraints on individual labor market outcomes by exploiting the 1992 mortgage reform in Denmark, which for the first time allowed homeowners to borrow against housing equity for nonhousing purposes. Following the reform, liquidity-constrained homeowners increased debt levels and had higher earnings growth and lower employment rates. The option to borrow against housing equity enabled liquidity-constrained individuals to move to high-wage jobs and invest in valuable human and physical capital. The results imply that relaxing household liquidity constraints during recessions can create better job matches, potentially increasing earnings and output in the longer run.

中文翻译：

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家庭流动性限制和劳动力市场结果：丹麦抵押贷款改革的证据

我们利用丹麦 1992 年抵押贷款改革来研究流动性限制对个人劳动力市场结果的因果影响，该改革首次允许房主以住房净值为非住房目的进行借款。改革后，流动性受限的房主债务水平增加，收入增长加快，就业率下降。以住房净值为抵押借款的选择使流动性有限的个人能够从事高薪工作并投资于宝贵的人力和实物资本。结果表明，在经济衰退期间放松家庭流动性限制可以创造更好的就业匹配，从长远来看可能会增加收入和产出。