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The Relation Between Global Migration and Trade Networks

  • Paolo Sgrignoli
  • Rodolfo Metulini
  • Stefano Schiavo
  • Massimo Riccaboni

In this paper we develop a methodology to analyze and compare multiple global networks. We focus our analysis on the relation between human migration and trade. First, we identify the subset of products for which the presence of a community of migrants significantly increases trade intensity. To assure comparability across networks, we apply a hypergeometric filter to identify links for which migration and trade intensity are both significantly higher than expected. Next we develop an econometric methodology, inspired by spatial econometrics, to measure the effect of migration on international trade while controlling for network interdependencies. Overall, we find that migration significantly boosts trade across sectors and we are able to identify product categories for which this effect is particularly strong.

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File URL: http://arxiv.org/pdf/1310.3716
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Paper provided by arXiv.org in its series Papers with number 1310.3716.

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Date of creation: Oct 2013
Date of revision: Oct 2013
Publication status: Published in Physica A: Statistical Mechanics and its Applications, Volume 417, 1 January 2015, Pages 245-260
Handle: RePEc:arx:papers:1310.3716
Contact details of provider: Web page: http://arxiv.org/

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