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Spatial migration

Author

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  • Carmen Camacho

    (CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

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.

Suggested Citation

  • Carmen Camacho, 2013. "Spatial migration," Post-Print halshs-00801109, HAL.
    • Handle: RePEc:hal:journl:halshs-00801109
    Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00801109
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    References listed on IDEAS

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    1. Boucekkine, Raouf & Camacho, Carmen & Zou, Benteng, 2009. "Bridging The Gap Between Growth Theory And The New Economic Geography: The Spatial Ramsey Model," Macroeconomic Dynamics, Cambridge University Press, vol. 13(1), pages 20-45, February.
    2. T Puu, 1985. "A Simplified Model of Spatiotemporal Population Dynamics," Environment and Planning A, , vol. 17(9), pages 1263-1269, September.
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    Keywords

    Migration; spatial dynamics; economic growth; parabolic PDE; optimal control; Dynamique spatiale; croissance économique; PDE; control optimal;
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