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Does migration lead to economic convergence in an enlarged European market?

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  • Joanna Wolszczak-Derlacz

    ()
    (Gdansk University of Technology, Poland)

Abstract

This paper examines the relationship between migration and convergence for the enlarged internal market of the European Union (EU27) for the period 1990–2007. The impact of migration on growth is estimated in two ways: by including the migration rate in a growth regression and examining its impact on the convergence coefficient; and from the actual coefficient on migration, which can be interpreted as the effect of migration on long-term growth. While the first approach gives results in favour of the importance of migration on convergence even when human capital is controlled for, the results of the latter are not statistically significant.

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Bibliographic Info

Article provided by National Bank of Poland, Economic Institute in its journal Bank i Kredyt.

Volume (Year): 40 (2009)
Issue (Month): 4 ()
Pages: 71-87

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Handle: RePEc:nbp:nbpbik:v:40:y:2009:i:4:p:71-87

Note: I would like to thank two anonymous referees for valuable advice and suggestions. This paper has benefited from comments by participants of the Conference “Migration, Labour Market and Economic Growth in Europe after Enlargement”, organised by the National Bank of Poland on 8–9 December 2008.
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Keywords: migration; economic growth; convergence;

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  1. Xavier Sala-I-Martin & Gernot Doppelhofer & Ronald I. Miller, 2004. "Determinants of Long-Term Growth: A Bayesian Averaging of Classical Estimates (BACE) Approach," American Economic Review, American Economic Association, vol. 94(4), pages 813-835, September.
  2. Jeffrey G, Williamson & Kevin O'Rourke & Timothy J. Hatton, 1993. "Mass Migration, Commodity Market Integration and Real Wage Convergence: The Late Nineteenth Century Atlantic Economy," NBER Historical Working Papers 0048, National Bureau of Economic Research, Inc.
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  5. Stein �stbye & Olle Westerlund, 2007. "Is Migration Important for Regional Convergence? Comparative Evidence for Norwegian and Swedish Counties, 1980-2000," Regional Studies, Taylor & Francis Journals, vol. 41(7), pages 901-915.
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  12. Michel Beine & Frédéric Docquier & Hillel Rapoport, . "Brain drain and human capital formation in developing countries: winners and losers?," ULB Institutional Repository 2013/10415, ULB -- Universite Libre de Bruxelles.
  13. Ceren Ozgen & Peter Nijkamp & Jacques Poot, 2009. "The Effect of Migration on Income Convergence: Meta-Analytic Evidence," Tinbergen Institute Discussion Papers 09-022/3, Tinbergen Institute.
  14. Blundell, R. & Bond, S., 1995. "Initial Conditions and Moment Restrictions in Dynamic Panel Data Models," Economics Papers 104, Economics Group, Nuffield College, University of Oxford.
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  16. Kemnitz, Alexander, 2001. "Endogenous growth and the gains from immigration," Economics Letters, Elsevier, vol. 72(2), pages 215-218, August.
  17. Mideksa, Torben, 2007. "Endogenous Growth And Gains From Skilled Immigration," MPRA Paper 2167, University Library of Munich, Germany.
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