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Time Preference and Labour Migration in an OLG Model with Land and Capital

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  • CRETTEZ , Bertrand
  • MICHEL , Philippe
  • VIDAL , Jean-Pierre

Abstract

This paper constructs a two-country migration model in the lines of Galor (1986), in which the world population consists of individuals of two types who have different time preferences. Production uses three inputs: mobile labour, immobile capital and land. It is shown that both countries are necessarily inhabited by agents of both types and exhibit equal density of population and equal interest rate at the steady state equilibrium of the integrated economy. The steady state welfare implications of international labour migration are studied. JEL classifications: F22, J61

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Bibliographic Info

Paper provided by Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) in its series CORE Discussion Papers with number 1995046.

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Date of creation: 00 1995
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Handle: RePEc:cor:louvco:1995046

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Cited by:
  1. Frédéric DOCQUIER & Joël MACHADO & Khalid SEKKAT, 2012. "Efficiency gains from liberalizing labor mobility," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2012023, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  2. Damien Gaumont & Alice Mesnard, 1999. "Altruism and International Labour Migration," Working Papers 99-05, Centre de Recherche en Economie et Statistique.
  3. Luca Marchiori & Ingmar Schumacher, 2009. "When nature rebels: international migration, climate change and inequality," Working Papers hal-00358759, HAL.
  4. 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.
  5. Jean-Pierre Vidal, 1998. "The effect of emigration on human capital formation," Journal of Population Economics, Springer, vol. 11(4), pages 589-600.
  6. Damien Gaumont & Alice Mesnard, 2001. "Inheritance, land, and capital mobility linked to labour mobility," Journal of Population Economics, Springer, vol. 14(4), pages 669-687.
  7. Meier, Volker, 2000. "Time preference, international migration, and social security," Munich Reprints in Economics 19190, University of Munich, Department of Economics.
  8. Mehmet S. Tosun, 2005. "Global Aging and Fiscal Policy with International Labor Mobility," IMF Working Papers 05/140, International Monetary Fund.
  9. Klaus Nowotny, 2010. "Risk Aversion, Time Preference and Cross-border Commuting and Migration Intentions," WIFO Working Papers 379, WIFO.
  10. Thibault, E., 2000. "Labor Immigration and Long Run Welfare in a Growth Model with Heterogeneous Agents and Endogenous Labor Supply," G.R.E.Q.A.M. 00a12, Universite Aix-Marseille III.
  11. Jousten, Alain & Pestieau, Pierre, 2001. "Labour Mobility, Redistribution And Pensions Reform In Europe," CEPR Discussion Papers 2792, C.E.P.R. Discussion Papers.
  12. Vidal, J.-P., 1999. "Capital Mobility in a Dynastic Framework," G.R.E.Q.A.M. 99a21, Universite Aix-Marseille III.
  13. Vidal, Jean-Pierre, 2000. "Capital Mobility in a Dynastic Framework," Oxford Economic Papers, Oxford University Press, vol. 52(3), pages 606-25, July.
  14. Francesco Magris & Giuseppe Russo, 2005. "Selective immigration policies, human capital accumulation and migration duration in infinite horizon," PSE Working Papers halshs-00590772, HAL.
  15. repec:hal:wpaper:halshs-00590772 is not listed on IDEAS
  16. Tosun, Mehmet S., 2009. "Global Aging and Fiscal Policy with International Labor Mobility: A Political Economy Perspective," IZA Discussion Papers 4166, Institute for the Study of Labor (IZA).

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