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Strength of social ties: How non-monetary bonds affect east germans' decision to stay after german reunification

Author

Listed:
  • Alison Macintyre

    (School of Economics and Finance, Queensland University of Technology, Australia
    Centre for Behavioural Economics, Society and Technology (BEST). Queensland University of Technology, Brisbane, Australia)

  • Tony Beatton

    (Centre for Behavioural Economics, Society and Technology (BEST). Queensland University of Technology, Brisbane, Australia)

  • Ho Fai Chan

    (School of Economics and Finance, Queensland University of Technology, Australia
    Centre for Behavioural Economics, Society and Technology (BEST). Queensland University of Technology, Brisbane, Australia)

  • Benno Torgler

    (School of Economics and Finance, Queensland University of Technology, Australia
    Centre for Behavioural Economics, Society and Technology (BEST). Queensland University of Technology, Brisbane, Australia
    CREMA - Center for Research in Economics, Management and the Arts, Switzerland)

Abstract

Love of family and loyalty to country are warm-blooded motivations that can impact the human migration decision. Our social ties and allegiances reflect where we choose to live, work, pay taxes, and contribute to community. The migration literature typically examines why people move from one place to another; in contrast, we look at why people choose to stay. Using behaviours that reflect time use as proxies for the strength of social ties, we investigate the East-to-West Germany migration decision immediately after the fall of the Berlin Wall. We find that social ties do matter. More frequent involvement in family activities, social gatherings, entertainment, or sports activities is associated with East Germans not staying in the East. On the other hand, those with greater church involvement, those who engage in more cultural activities and have higher levels of education, and those with larger family commitments are more likely to stay in East Germany.

Suggested Citation

  • Alison Macintyre & Tony Beatton & Ho Fai Chan & Benno Torgler, 2021. "Strength of social ties: How non-monetary bonds affect east germans' decision to stay after german reunification," Journal of Behavioral Economics for Policy, Society for the Advancement of Behavioral Economics (SABE), vol. 5(S2), pages 103-120, Septembre.
    • Handle: RePEc:beh:jbepv1:v:5:y:2021:i:s2:p:103-120
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    More about this item

    Keywords

    migration; german unification; loyalty; social ties;
    All these keywords.

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • Z1 - Other Special Topics - - Cultural Economics
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General

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