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On Migration and Unemployment: Evidence from Italian Graduates

  • G Di Pietro

This paper examines the impact of the unemployment rate on the decision to migrate among recent Italian graduates. A fixed-effects approach is used to avoid potential omitted variable problems. This method allows us to account for unobservable location-specific characteristics that are likely to be correlated with the unemployment rate and the probability that an individual migrates. The empirical results highlight the importance of controlling for location-specific effects and show that lower employment opportunities are likely to encourage people to migrate if they do not have a job, but exert no influence on those who are employed.

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Article provided by Economic Issues in its journal Economic Issues.

Volume (Year): 10 (2005)
Issue (Month): 2 (September)
Pages: 11-28

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Handle: RePEc:eis:articl:205pietro
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  1. Schwartz, Aba, 1973. "Interpreting the Effect of Distance on Migration," Journal of Political Economy, University of Chicago Press, vol. 81(5), pages 1153-69, Sept.-Oct.
  2. DaVanzo, Julie, 1978. "Does Unemployment Affect Migration?-Evidence from Micro Data," The Review of Economics and Statistics, MIT Press, vol. 60(4), pages 504-14, November.
  3. Ai, Chunrong & Norton, Edward C., 2003. "Interaction terms in logit and probit models," Economics Letters, Elsevier, vol. 80(1), pages 123-129, July.
  4. Allen, Jim & van der Velden, Rolf, 2001. "Educational Mismatches versus Skill Mismatches: Effects on Wages, Job Satisfaction, and On-the-Job Search," Oxford Economic Papers, Oxford University Press, vol. 53(3), pages 434-52, July.
  5. DaVanzo, Julie, 1983. "Repeat Migration in the United States: Who Moves Back and Who Moves On?," The Review of Economics and Statistics, MIT Press, vol. 65(4), pages 552-59, November.
  6. Antolin, Pablo & Bover, Olympia, 1997. "Regional Migration in Spain: The Effect of Personal Characteristics and of Unemployment, Wage and House Price Differentials Using Pooled Cross-Sections," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 59(2), pages 215-35, May.
  7. Rees, Daniel I. & Mocan, H. Naci, 1997. "Labor market conditions and the high school dropout rate: Evidence from New York State," Economics of Education Review, Elsevier, vol. 16(2), pages 103-109, April.
  8. Jeffrey Yankow, 1999. "The Wage Dynamics of Internal Migration within the United States," Eastern Economic Journal, Eastern Economic Association, vol. 25(3), pages 265-278, Summer.
  9. Pissarides, Christopher A & Wadsworth, Jonathan, 1989. "Unemployment and the Inter-regional Mobility of Labour," Economic Journal, Royal Economic Society, vol. 99(397), pages 739-55, September.
  10. Mincer, Jacob, 1978. "Family Migration Decisions," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 749-73, October.
  11. Roger Axelsson & Olle Westerlund, 1998. "A panel study of migration, self-selection and household real income," Journal of Population Economics, Springer, vol. 11(1), pages 113-126.
  12. Jackman, Richard & Savouri, Savvas, 1992. "Regional Migration in Britain: An Analysis of Gross Flows Using NHS Central Register Data," Economic Journal, Royal Economic Society, vol. 102(415), pages 1433-50, November.
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