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Time preference, international migration, and social security

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Author Info

  • Volker Meier

    ()
    (Department of Economics, University of Halle, Grosse Steinstrasse 73, D-06099 Halle, Saale, Germany)

Abstract

This paper analyzes both the formation of long-run migration incentives and the consequences of a regime change from "autarky" to "free migration" in an overlapping-generations framework with two countries. Under autarky the countries may differ with respect to their aggregate savings rate or with respect to their pension-wage ratio. It is shown that an individual prefers to live in a country where the capital-labor ratio is close to the Golden Rule level and where his characteristics are relatively scarce. Both the migration incentives and the consequences of free migration are determined by these two effects.

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Bibliographic Info

Article provided by Springer in its journal Journal of Population Economics.

Volume (Year): 13 (2000)
Issue (Month): 1 ()
Pages: 127-146

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Handle: RePEc:spr:jopoec:v:13:y:2000:i:1:p:127-146

Note: Received: 2 March 1998/Accepted: 10 February 1999
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Related research

Keywords: International migration; social security;

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References

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  1. Stefan Homburg & Wolfram Richter, 1993. "Harmonizing public debt and public pension schemes in the European community," Journal of Economics, Springer, vol. 58(1), pages 51-63, December.
  2. Galor, Oded & Stark, Oded, 1991. "The Impact of Differences in the Levels of Technology on International Labor Migration," Journal of Population Economics, Springer, vol. 4(1), pages 1-12, March.
  3. Jean-Pierre Vidal & Philippe Michel & Bertrand Crettez, 1996. "Time preference and labour migration in an OLG model with land and capital," Journal of Population Economics, Springer, vol. 9(4), pages 387-403.
  4. Scholten, Ulrich & Thum, Marcel, 1996. " Public Pensions and Immigration Policy in a Democracy," Public Choice, Springer, vol. 87(3-4), pages 347-61, June.
  5. Kondo, Hitoshi, 1989. "International Factor Mobility and Production Technology," Journal of Population Economics, Springer, vol. 2(4), pages 281-99.
  6. Galor, Oded, 1986. "Time preference and international labor migration," Journal of Economic Theory, Elsevier, vol. 38(1), pages 1-20, February.
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Citations

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Cited by:
  1. Ito, Hiroyuki & Tabata, Ken, 2008. "Demographic structure and growth: The effect of unfunded social security," Economics Letters, Elsevier, vol. 100(2), pages 288-291, August.
  2. Hiroyuki Ito & Ken Tabata, 2010. "The spillover effects of population aging, international capital flows, and welfare," Journal of Population Economics, Springer, vol. 23(2), pages 665-702, March.
  3. Jousten, Alain & Pestieau, Pierre, 2001. "Labour Mobility, Redistribution And Pensions Reform In Europe," CEPR Discussion Papers 2792, C.E.P.R. Discussion Papers.
  4. Groezen, B.J.A.M. van & Leers, T., 2000. "The Effects of Asymmetric Demographic Shocks with Perfect Capital Mobility," Discussion Paper 2000-88, Tilburg University, Center for Economic Research.
  5. Leers, Theo & Meijdam, Lex & Verbon, Harrie A. A., 2004. "Ageing, migration and endogenous public pensions," Journal of Public Economics, Elsevier, vol. 88(1-2), pages 131-159, January.
  6. Klaus Nowotny, 2010. "Risk Aversion, Time Preference and Cross-border Commuting and Migration Intentions," WIFO Working Papers 379, WIFO.

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