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Migration and regional convergence: An empirical investigation for Turkey

Author

Listed:
  • Kırdar, Murat G.
  • SaracoÄŸlu, D. Åžirin

Abstract

The standard growth model predicts that allowing labour mobility across regions would increase the speed of convergence in per capita income levels and that migration has a negative causal impact on regional growth rates. Although the empirical literature has uncovered some evidence for the former implication, the latter has not been verified empirically. This paper provides empirical evidence for the negative causal impact of migration on provincial growth rates in a developing country with a high level of internal migration characterized by unskilled labour exiting rural areas for urban centres. We utilize an instrumental variables estimation method with an instrument unique to the country examined, controlling for provincial fixed effects.

Suggested Citation

Handle: RePEc:eee:paresc:v:87:y:2008:i:4:p:545-567
DOI: 10.1111/j.1435-5957.2008.00178.x
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JEL classification:

  • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
  • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
  • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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