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Geography, Migrations and Equilibrium Unemployment Author info | Abstract | Publisher info | Download info | Related research | Statistics Paolo Epifani () (Universita' di Parma, Parma, Italy , CESPRI, Universita' Bocconi, Milano, Italy )
Gino Gancia () (IIES-Stockholm University, Stockholm, Sweden )
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We study the effects of trade integration on the regional coevolution of income, migrations and unemployment in a dynamic core-periphery model with limited labor mobility and frictions in the job matching process. Our model can help explain a recently documented empirical puzzle, i.e., the divergence of unemployment rates, together with low migrations and modest income convergence experienced by European regions over the last twenty years. By studying explicitly the transitional dynamics of the model, we also highlight a contrast between short run and long run effects of trade and policy shocks on a geographically differentiated economy.
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Paper provided by CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy in its series CESPRI Working Papers with number
128.
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Length: 26 pages
Date of creation: Mar 2002Date of revision:
Jul 2001Handle: RePEc:cri:cespri:wp128Contact details of provider: Postal: via Sarfatti, 25 - 20136 Milano - Italy Phone: +39.025836.3397 Fax: +39.025836.3399 Web page: http://www.cespri.unibocconi.it/
Order Information: Postal: E G E A - via R. Sarfatti, 25 - 20136 Milano -Italy
For technical questions regarding this item, or to correct its listing, contact: (Roberta Ometti).
Keywords: Patents ; Integration ; Agglomeration ; Regional unemployment ; Europe ; Other versions of this item:
Find related papers by JEL classification: F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies F15 - International Economics - - Trade - - - Economic Integration F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
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Basile, Roberto & Padoa Schioppa, Fiorella Kostoris, 2002.
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Stephen Drinkwater & Paul Levine & Emanuela Lotti & Joseph Pearlman, 2003.
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