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Long-Run Determinants of Immigration to Germany 1974-1999: A Ricardian Framework

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  • Federico Foders
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    Abstract

    This paper examines the long-run determinants of immigration to Germany using a modified version of the Ricardo model. After a brief overview of labour flows to Germany and the related empirical literature, a Ricardian model of migration is estimated using static panel data methods. The results show that variables representing factor abundance appear to have no effect whatsoever on labour flows to Germany in a period of rising unemployment (1974–1999), while variables representing income or productivity differences do have an impact. The latter obtains only if the stock of previous immigrants in the country of destination and the distance between sending countries and the receiving country are controlled for.

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    File URL: https://www.ifw-members.ifw-kiel.de/publications/long-run-determinants-of-immigration-to-germany-1974-1999-a-ricardian-framework/kap1187.pdf
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    Bibliographic Info

    Paper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 1187.

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    Length: 34 pages
    Date of creation: Sep 2003
    Date of revision:
    Handle: RePEc:kie:kieliw:1187

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    Keywords: Labour mobility; immigration; migration; Germany; Ricardo model;

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    1. de Melo, Jaime & Grether, Jean-Marie & Müller, Tobias, 2001. "The Political Economy of International Migration in a Ricardo-Viner Model," CEPR Discussion Papers, C.E.P.R. Discussion Papers 2714, C.E.P.R. Discussion Papers.
    2. Ximena Clark & Timothy J. Hatton & Jeffrey G. Williamson, 2002. "Where Do U.S. Immigrants Come From, and Why?," NBER Working Papers 8998, National Bureau of Economic Research, Inc.
    3. Nigel Pain & Dr. James Mitchell, 2003. "The Determinants of International Migration into the UK: A Panel Based Modelling Approach," NIESR Discussion Papers, National Institute of Economic and Social Research 126, National Institute of Economic and Social Research.
    4. Timothy Hatton & Jeffery Williamson, 2002. "What Fundamentals Drive World Migration?," CEPR Discussion Papers, Centre for Economic Policy Research, Research School of Economics, Australian National University 458, Centre for Economic Policy Research, Research School of Economics, Australian National University.
    5. Burda, Michael C, 1995. "Migration and the Option Value of Waiting," CEPR Discussion Papers, C.E.P.R. Discussion Papers 1229, C.E.P.R. Discussion Papers.
    6. Donald R. Davis & David E. Weinstein, 2002. "Technological Superiority and the Losses from Migration," NBER Working Papers 8971, National Bureau of Economic Research, Inc.
    7. Foders, Federico, 1998. "A note on economic growth and human capital in Eastern Europe," Kiel Working Papers 864, Kiel Institute for the World Economy.
    8. Trefler, Daniel, 1995. "The Case of the Missing Trade and Other Mysteries," American Economic Review, American Economic Association, American Economic Association, vol. 85(5), pages 1029-46, December.
    9. Boozer, Michael A., 1997. "Econometric Analysis of Panel Data Badi H. Baltagi Wiley, 1995," Econometric Theory, Cambridge University Press, Cambridge University Press, vol. 13(05), pages 747-754, October.
    10. George J. Borjas, 1994. "The Economics of Immigration," Journal of Economic Literature, American Economic Association, American Economic Association, vol. 32(4), pages 1667-1717, December.
    11. repec:wop:humbsf:1995-58 is not listed on IDEAS
    12. Michael Fertig, 2001. "The economic impact of EU-enlargement: assessing the migration potential," Empirical Economics, Springer, Springer, vol. 26(4), pages 707-720.
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