Advanced Search
MyIDEAS: Login to save this paper or follow this series

Cultural Distance and Gravity Effects among Migrants

Contents:

Author Info

  • Annie Tubadji

    ()

  • Peter Nijkamp

    ()

Abstract

This paper introduces cultural gravity as a new concept for analyzing socio-economic disparities among immigrants. It tests the existence of cultural gravity effects on the geographic concentration and human capital productivity of immigrants. Using cultural distance as a proxy for the local cultural gravity potential, the paper seeks to capture empirical evidence of the presence of significant gravity effects of culture. The paper seeks to highlight three new research issues: (i) local productivity patterns and the immigrants? contribution to them; (ii) the spatial concentration preferences of different immigrant groups; and (iii) the full culture-based development (CBD) mechanism of a joint cultural impact on the concentration and productivity of local human capital. To provide empirical evidence, we compose a cross-sectional database for the EU15, comprising inter alia the World Value Survey and Eurostat Census data, initially explored by a multivariate statistical analysis. Next, we present an extended formulation of a gravity model analyzed with appropriate regression methods, in particular explored in a logit context and through a recursive 3SLS model. Our results clearly demonstrate the existence of a cultural gravity effect among immigrants. Finally, an interesting find is that cultural gravity plays also a significant role in the context of the above-mentioned CBD growth model. The gravity model applied considers as two opposing sides the world at large and the particular locality, thus allowing the local GDP to play a role in the formation of the spatial preference among migrants. There are three specific empirical details worth notice. First, the migrants preference is expressed through a dummy variable, which is 1 when the average concentration of immigrants from a particular origin is above the average concentration of this type of immigrants around the world. Second, the recursive model is a combination of Weberian-Bourdeuian rationale for the formation of human capital in a locality, and at a second step the locally shaped human capital concoction is plugged in into a Romer-minded production function. Third, cultural distance is an innovative concept introduced to gravity modelling, quantified by the cultural capital characterizing negative cultural milieu towards the 'different' and those introducing a change. This cultural capital is measured as a vector variable, a product of factor analysis with a bunch of cultural attitudes of interest.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www-sre.wu.ac.at/ersa/ersaconfs/ersa13/ERSA2013_paper_00484.pdf
Download Restriction: no

Bibliographic Info

Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa13p484.

as in new window
Length:
Date of creation: Nov 2013
Date of revision:
Handle: RePEc:wiw:wiwrsa:ersa13p484

Contact details of provider:
Postal: Welthandelsplatz 1, 1020 Vienna, Austria
Web page: http://www.ersa.org

Related research

Keywords: immigration; gravity; cultural distance; human capital; cultural capital; productivity;

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Lucey, Brian M. & Zhang, QiYu, 2010. "Does cultural distance matter in international stock market comovement? Evidence from emerging economies around the world," Emerging Markets Review, Elsevier, Elsevier, vol. 11(1), pages 62-78, March.
  2. James E. Anderson & Eric van Wincoop, 2004. "Trade Costs," NBER Working Papers 10480, National Bureau of Economic Research, Inc.
  3. repec:dgr:uvatin:2011147 is not listed on IDEAS
  4. Ozgen, Ceren & Nijkamp, Peter & Poot, Jacques, 2009. "The Effect of Migration on Income Growth and Convergence: Meta-Analytic Evidence," IZA Discussion Papers 4522, Institute for the Study of Labor (IZA).
  5. Timothy R. Wojan & Dayton M. Lambert & David A. McGranahan, 2007. "Emoting with their feet: Bohemian attraction to creative milieu -super-†," Journal of Economic Geography, Oxford University Press, Oxford University Press, vol. 7(6), pages 711-736, November.
  6. Mark Grinblatt, 2001. "How Distance, Language, and Culture Influence Stockholdings and Trades," Journal of Finance, American Finance Association, American Finance Association, vol. 56(3), pages 1053-1073, 06.
  7. Bruce Kogut & Harbir Singh, 1988. "The Effect of National Culture on the Choice of Entry Mode," Journal of International Business Studies, Palgrave Macmillan, Palgrave Macmillan, vol. 19(3), pages 411-432, September.
  8. Gianmarco I.P. Ottaviano & Giovanni Peri, 2004. "The Economic Value of Cultural Diversity: Evidence from US Cities," CESifo Working Paper Series, CESifo Group Munich 1117, CESifo Group Munich.
  9. Edward E. Leamer & James Levinsohn, 1994. "International Trade Theory: The Evidence," NBER Working Papers 4940, National Bureau of Economic Research, Inc.
  10. Laszlo Tihanyi & David A Griffith & Craig J Russell, 2005. "The effect of cultural distance on entry mode choice, international diversification, and MNE performance: a meta-analysis," Journal of International Business Studies, Palgrave Macmillan, Palgrave Macmillan, vol. 36(3), pages 270-283, May.
  11. Paola Sapienza & Luigi Zingales & Luigi Guiso, 2006. "Does Culture Affect Economic Outcomes?," NBER Working Papers 11999, National Bureau of Economic Research, Inc.
  12. Kalok Chan & Vicentiu Covrig & Lilian Ng, 2005. "What Determines the Domestic Bias and Foreign Bias? Evidence from Mutual Fund Equity Allocations Worldwide," Journal of Finance, American Finance Association, American Finance Association, vol. 60(3), pages 1495-1534, 06.
  13. Joshua D. Angrist & Adriana D. Kugler, 2003. "Protective or counter-productive? labour market institutions and the effect of immigration on eu natives," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 113(488), pages F302-F331, 06.
  14. Ottaviano, Gianmarco I.P. & Peri, Giovanni, 2005. "Cities and cultures," Journal of Urban Economics, Elsevier, vol. 58(2), pages 304-337, September.
  15. Harris, John R & Todaro, Michael P, 1970. "Migration, Unemployment & Development: A Two-Sector Analysis," American Economic Review, American Economic Association, American Economic Association, vol. 60(1), pages 126-42, March.
  16. Michael Fritsch & Michael Stützer, 2012. "The Geography of Creative People in Germany revisited," Jena Economic Research Papers, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics 2012-065, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
  17. Guido Tabellini, 2006. "Culture and institutions: economic development in the regions of Europe," Levine's Working Paper Archive 321307000000000241, David K. Levine.
  18. Rubinstein, Yona & Helpman, Elhanan & Melitz, Marc, 2008. "Estimating Trade Flows: Trading Partners and Trading Volumes," Scholarly Articles 3228230, Harvard University Department of Economics.
  19. G. Guerra & R. Patuelli, 2011. "The Influence of Role Models on Immigrant Self-Employment: A Spatial Analysis for Switzerland," Working Papers, Dipartimento Scienze Economiche, Universita' di Bologna wp745, Dipartimento Scienze Economiche, Universita' di Bologna.
  20. Jan Wedemeier, 2011. "Creative professionals and high-skilled agents': Polarization of employment growth?," ERSA conference papers, European Regional Science Association ersa11p489, European Regional Science Association.
  21. Jeffrey Grogger & Gordon H. Hanson, 2008. "Income Maximization and the Selection and Sorting of International Migrants," NBER Working Papers 13821, National Bureau of Economic Research, Inc.
  22. Masood Gheasi & Peter Nijkamp & Piet Rietveld, 2011. "Migrants and International Economic Linkages: A Meta-Overview," Tinbergen Institute Discussion Papers, Tinbergen Institute 11-147/3, Tinbergen Institute.
  23. Guo, Rongxing, 2004. "How culture influences foreign trade: evidence from the U.S. and China," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, Elsevier, vol. 33(6), pages 785-812, December.
  24. George J. Borjas, 1994. "The Economic Benefits from Immigration," NBER Working Papers 4955, National Bureau of Economic Research, Inc.
  25. Tiago Cavalcanti & Stephen Parente & Rui Zhao, 2007. "Religion in macroeconomics: a quantitative analysis of Weber’s thesis," Economic Theory, Springer, Springer, vol. 32(1), pages 105-123, July.
  26. George J. Borjas, 2003. "The Labor Demand Curve Is Downward Sloping: Reexamining The Impact Of Immigration On The Labor Market," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 118(4), pages 1335-1374, November.
  27. Nathan, Max, 2007. "The Wrong Stuff? Creative Class Theory and Economic Performance in UK Cities," MPRA Paper 29486, University Library of Munich, Germany.
  28. Paul Collier, 2001. "Implications of ethnic diversity," Economic Policy, CEPR;CES;MSH, CEPR;CES;MSH, vol. 16(32), pages 127-166, 04.
  29. Richard Florida & Charlotta Mellander, 2010. "There goes the metro: how and why bohemians, artists and gays affect regional housing values," Journal of Economic Geography, Oxford University Press, Oxford University Press, vol. 10(2), pages 167-188, March.
  30. Puffert, Douglas J., 2002. "Path Dependence in Spatial Networks: The Standardization of Railway Track Gauge," Explorations in Economic History, Elsevier, Elsevier, vol. 39(3), pages 282-314, July.
  31. Page, Scott E., 2006. "Path Dependence," International Quarterly Journal of Political Science, now publishers, now publishers, vol. 1(1), pages 87-115, January.
  32. Baycan, T. & Nijkamp, P., 2011. "A socio-economic impact analysis of cultural diversity," Serie Research Memoranda, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics 0012, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  33. 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.
  34. Head, Keith & Ries, John, 2008. "FDI as an outcome of the market for corporate control: Theory and evidence," Journal of International Economics, Elsevier, Elsevier, vol. 74(1), pages 2-20, January.
  35. McCleary, Rachel & Barro, Robert, 2003. "Religion and Economic Growth across Countries," Scholarly Articles 3708464, Harvard University Department of Economics.
  36. Ron A. Boschma & Michael Fritsch, 2007. "Creative Class and Regional Growth - Empirical Evidence from Eight European Countries," Jena Economic Research Papers, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics 2007-066, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:wiw:wiwrsa:ersa13p484. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gunther Maier).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.