Aggregate data from the regions of Southern Italy are used to test whether risk is a significant determinant of the decision to migrate abroad or inside the country. This indeed appears to be the case for both foreign and domestic migrations, after controlling for unemployment and wage differentials and other plausible control variables. We interpret our results as evidence that, whereas financial markets are absent or malfunctioning, migration provides a shelter against uncertain income prospects.
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Paper provided by IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University in its series Working Papers with number
124.
Length: Date of creation: Date of revision: Handle: RePEc:igi:igierp:124
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David A. Jaeger & Holger Bonin & Thomas Dohmen & Armin Falk & David Huffman & Uwe Sunde, 2007.
"Direct Evidence on Risk Attitudes and Migration,"
CReAM Discussion Paper Series
0703, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
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