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Determinants of the Choice of Migration Destination

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  • Marcel Fafchamps
  • Forhad Shilpi

Abstract

This paper examines migrants choice of destination conditional on migration. To this end, we design an empirical strategy which remedies both migration selection and unobserved heterogeneity problems. The study uses data from two round of Nepal Living Standard Surveys and a Population census and examine how the choice of migration destination is influenced by income differentials and other covariates. We find distance, population density, and social proximity to have a strong significant effect:

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Bibliographic Info

Article provided by Department of Economics, University of Oxford in its journal Oxford Bulletin of Economics and Statistics.

Volume (Year): 75 (2013)
Issue (Month): 3 (06)
Pages: 388-409

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Handle: RePEc:bla:obuest:v:75:y:2013:i:3:p:388-409

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References

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  1. Marcel Fafchamps & Forhad Shilpi, 2004. "Isolation and Subjective Welfare," Economics Series Working Papers 216, University of Oxford, Department of Economics.
  2. Marcel Fafchamps & Forhad Shilpi, 2005. "Cities and Specialisation: Evidence from South Asia," Economic Journal, Royal Economic Society, vol. 115(503), pages 477-504, 04.
  3. Mansuri, Ghazala, 2006. "Migration, school attainment, and child labor : evidence from rural Pakistan," Policy Research Working Paper Series 3945, The World Bank.
  4. Isaac Bayoh & Elena G. Irwin & Timothy Haab, 2006. "Determinants of Residential Location Choice: How Important Are Local Public Goods in Attracting Homeowners to Central City Locations?," Journal of Regional Science, Wiley Blackwell, vol. 46(1), pages 97-120.
  5. Gordon B. Dahl, 2002. "Mobility and the Return to Education: Testing a Roy Model with Multiple Markets," RCER Working Papers 488, University of Rochester - Center for Economic Research (RCER).
  6. Adams, Richard H, Jr, 1998. "Remittances, Investment, and Rural Asset Accumulation in Pakistan," Economic Development and Cultural Change, University of Chicago Press, vol. 47(1), pages 155-73, October.
  7. McCall, B P & McCall, J J, 1987. "A Sequential Study of Migration and Job Search," Journal of Labor Economics, University of Chicago Press, vol. 5(4), pages 452-76, October.
  8. David McKenzie & John Gibson & Steven Stillman, 2010. "How Important Is Selection? Experimental vs. Non-Experimental Measures of the Income Gains from Migration," Journal of the European Economic Association, MIT Press, vol. 8(4), pages 913-945, 06.
  9. Fafchamps, Marcel & Shilpi, Forhad, 2008. "Subjective welfare, isolation, and relative consumption," Journal of Development Economics, Elsevier, vol. 86(1), pages 43-60, April.
  10. Timmins, Christopher, 2006. "Estimating spatial differences in the Brazilian cost of living with household location choices," Journal of Development Economics, Elsevier, vol. 80(1), pages 59-83, June.
  11. Borjas, George J & Bronars, Stephen G & Trejo, Stephen J, 1992. "Assimilation and the Earnings of Young Internal Migrants," The Review of Economics and Statistics, MIT Press, vol. 74(1), pages 170-75, February.
  12. Marcel Fafchamps & Forhad Shilpi, 2003. "The spatial division of labour in Nepal," Journal of Development Studies, Taylor & Francis Journals, vol. 39(6), pages 23-66.
  13. George J. Borjas, 2006. "Native Internal Migration and the Labor Market Impact of Immigration," Journal of Human Resources, University of Wisconsin Press, vol. 41(2).
  14. Carrington, William J & Detragiache, Enrica & Vishwanath, Tara, 1996. "Migration with Endogenous Moving Costs," American Economic Review, American Economic Association, vol. 86(4), pages 909-30, September.
  15. Patrick Bayer & Shakeeb Khan & Christopher Timmins, 2008. "Nonparametric Identification and Estimation in a Generalized Roy Model," NBER Working Papers 13949, National Bureau of Economic Research, Inc.
  16. Lori A. Beaman, 2012. "Social Networks and the Dynamics of Labour Market Outcomes: Evidence from Refugees Resettled in the U.S," Review of Economic Studies, Oxford University Press, vol. 79(1), pages 128-161.
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Cited by:
  1. Zhiling Wang & Thomas de Graaff & Peter Nijkamp, 2014. "Cultural Diversity and Cultural Distance as Choice Determinants of Migration Destination," Tinbergen Institute Discussion Papers 14-066/VIII, Tinbergen Institute.
  2. Mbaye, Linguère Mously, 2013. ""Barcelona or Die": Understanding Illegal Migration from Senegal," IZA Discussion Papers 7728, Institute for the Study of Labor (IZA).
  3. Fafchamps, Marcel, 2012. "Reprint of development, agglomeration, and the organization of work," Regional Science and Urban Economics, Elsevier, vol. 42(5), pages 765-778.
  4. Fafchamps, Marcel, 2012. "Development, agglomeration, and the organization of work," Regional Science and Urban Economics, Elsevier, vol. 42(3), pages 459-472.
  5. Fukase, Emiko, 2013. "Foreign job opportunities and internal migration in Vietnam," Policy Research Working Paper Series 6420, The World Bank.

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