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Spatial migration

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  • Carmen Camacho

    ()
    (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon-Sorbonne)

Abstract

We develop a model economy adapting Hotelling's migration law to make individuals react to the gradient of their indirect utility. In a first version, individuals respond uniquely to utility differences. In a second phase, we insert our migration law as a dynamic constraint in a spatial model of economic growth in which a policy maker maximizes overall welfare. In both cases we prove the existence of a unique solution under certain assumptions and for each initial distribution of human capital. We illustrate some extremely interesting properties of the economy and the associated population dynamics through numerical simulations. In the decentralized case in which a region enjoys a temporal technological advantage, an agglomeration in human capital emerges in the central area, which does not coincide with the technologically advanced area. In the complete model, initial differences in human capital can trigger everlasting inequalities in physical capital.

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Bibliographic Info

Paper provided by HAL in its series Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) with number halshs-00801109.

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Date of creation: Feb 2013
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Handle: RePEc:hal:cesptp:halshs-00801109

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Related research

Keywords: Migration; spatial dynamics; economic growth; parabolic PDE; optimal control;

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References

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  1. Carmen Camacho & Benteng Zou & Maya Briani, 2005. "On the dynamics of capital accumulation across space," Working Papers 376, Bielefeld University, Center for Mathematical Economics.
  2. Raouf Boucekkine & Carmen Camacho & Benteng Zou, 2006. "Bridging the gap between growth theory and the new economic geography: The spatial Ramsey model," DEGIT Conference Papers c011_039, DEGIT, Dynamics, Economic Growth, and International Trade.
  3. Javier Alvarez & Pascal Mossay, 2006. "Estimation of a continuous spatio-temporal population model," Journal of Geographical Systems, Springer, vol. 8(3), pages 307-316, September.
  4. Puu, Tonu, 1989. "On Growth and Dispersal of Populations," The Annals of Regional Science, Springer, vol. 23(3), pages 171-86.
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Cited by:
  1. Raouf Boucekkine & Carmen Camacho & Giorgio Fabbri, 2013. "On the Optimal Control of Some Parabolic Partial Differential Equations Arising in Economics," AMSE Working Papers 1334, Aix-Marseille School of Economics, Marseille, France, revised 05 Jun 2013.
  2. repec:hal:wpaper:halshs-00831042 is not listed on IDEAS
  3. Carmen CAMACHO, 2010. "Migration modelling in the New Economic Geography," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2010004, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).

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