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Determinants of the Choice of Migration Destination

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  • Marcel Fafchamps
  • Forhad Shilpi

Abstract

This paper examines migrants choice of destination conditional on migration. To this end, we design an empirical strategy which remedies both migration selection and unobserved heterogeneity problems. The study uses data from two round of Nepal Living Standard Surveys and a Population census and examine how the choice of migration destination is influenced by income differentials and other covariates. We find distance, population density, and social proximity to have a strong significant effect:

Suggested Citation

  • Marcel Fafchamps & Forhad Shilpi, 2009. "Determinants of the Choice of Migration Destination," CSAE Working Paper Series 2009-09, Centre for the Study of African Economies, University of Oxford.
  • Handle: RePEc:csa:wpaper:2009-09
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    References listed on IDEAS

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    1. Gordon B. Dahl, 2002. "Mobility and the Return to Education: Testing a Roy Model with Multiple Markets," Econometrica, Econometric Society, vol. 70(6), pages 2367-2420, November.
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    7. Timmins, Christopher, 2006. "Estimating spatial differences in the Brazilian cost of living with household location choices," Journal of Development Economics, Elsevier, vol. 80(1), pages 59-83, June.
    8. Borjas, George J & Bronars, Stephen G & Trejo, Stephen J, 1992. "Assimilation and the Earnings of Young Internal Migrants," The Review of Economics and Statistics, MIT Press, vol. 74(1), pages 170-175, February.
    9. Marcel Fafchamps & Forhad Shilpi, 2004. "Isolation and Subjective Welfare," Economics Series Working Papers 216, University of Oxford, Department of Economics.
    10. Carrington, William J & Detragiache, Enrica & Vishwanath, Tara, 1996. "Migration with Endogenous Moving Costs," American Economic Review, American Economic Association, vol. 86(4), pages 909-930, September.
    11. A. D. Roy, 1951. "Some Thoughts On The Distribution Of Earnings," Oxford Economic Papers, Oxford University Press, vol. 3(2), pages 135-146.
    12. Marcel Fafchamps & Forhad Shilpi, 2003. "The spatial division of labour in Nepal," Journal of Development Studies, Taylor & Francis Journals, vol. 39(6), pages 23-66.
    13. David McKenzie & John Gibson & Steven Stillman, 2010. "How Important Is Selection? Experimental vs. Non-Experimental Measures of the Income Gains from Migration," Journal of the European Economic Association, MIT Press, vol. 8(4), pages 913-945, June.
    14. Adams, Richard H, Jr, 1998. "Remittances, Investment, and Rural Asset Accumulation in Pakistan," Economic Development and Cultural Change, University of Chicago Press, vol. 47(1), pages 155-173, October.
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    16. Marcel Fafchamps & Forhad Shilpi, 2005. "Cities and Specialisation: Evidence from South Asia," Economic Journal, Royal Economic Society, vol. 115(503), pages 477-504, April.
    17. Mansuri, Ghazala, 2006. "Migration, school attainment, and child labor : evidence from rural Pakistan," Policy Research Working Paper Series 3945, The World Bank.
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    Citations

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    Cited by:

    1. Zaneta Kubik, 2017. "Climatic variation as a determinant of rural-to-rural migration destination choice: Evidence from Tanzania," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-01599362, HAL.
    2. Linguère Mbaye, 2014. "“Barcelona or die”: understanding illegal migration from Senegal," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-19, December.
    3. Luc Christiaensen & Joachim De Weerdt & Ravi Kanbur, 2017. "Cities, towns, and poverty: Migration equilibrium and income distribution in a Todaro-type model with multiple destinations," Working Papers 434, ECINEQ, Society for the Study of Economic Inequality.
    4. Fafchamps, Marcel, 2012. "Reprint of development, agglomeration, and the organization of work," Regional Science and Urban Economics, Elsevier, vol. 42(5), pages 765-778.
    5. Chakra P. Acharya & Roberto Leon-Gonzalez, 2016. "International Remittances, Rural-Urban Migration, and the Quest for Quality Education: The Case of Nepal," GRIPS Discussion Papers 15-25, National Graduate Institute for Policy Studies.
    6. repec:bla:obuest:v:79:y:2017:i:5:p:797-821 is not listed on IDEAS
    7. Zaneta Kubik, 2017. "Climatic variation as a determinant of rural-to-rural migration destination choice:Evidence from Tanzania," Documents de travail du Centre d'Economie de la Sorbonne 17037, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
    8. Jean-François Maystadt & Valerie Mueller & Ashwini Sebastian, 2016. "Environmental Migration and Labor Markets in Nepal," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 3(2), pages 417-452.
    9. Fukase, Emiko, 2013. "Foreign job opportunities and internal migration in Vietnam," Policy Research Working Paper Series 6420, The World Bank.
    10. Chen, Yiu Por (Vincent), 2015. "Fiscal Decentralization, Rural Industrialization, and Undocumented Labor Mobility in Rural China (1982-87)," IZA Discussion Papers 9024, Institute for the Study of Labor (IZA).
    11. Ingelaere, Bert & Christiaensen, Luc & De Weerdt, Joachim & Kanbur, Ravi, 2018. "Why secondary towns can be important for poverty reduction – A migrant perspective," World Development, Elsevier, vol. 105(C), pages 273-282.
    12. Christiaensen, Luc & De Weerdt, Joachim & Kanbur, Ravi, 2016. "Urbanization and poverty reduction: the role of secondary towns in Tanzania," IOB Analyses & Policy Briefs 18, Universiteit Antwerpen, Institute of Development Policy (IOB).
    13. repec:spr:ssefpa:v:9:y:2017:i:4:d:10.1007_s12571-017-0705-z is not listed on IDEAS
    14. Luc Christiaensen & Joachim De Weerdt & Ravi Kanbur, 2017. "Cities, towns, and poverty: Migration equilibrium and income distribution in a Todaro-type model with multiple destinations," Working Papers 434, ECINEQ, Society for the Study of Economic Inequality.
    15. Eric Rougier & Nicolas Yol, 2018. "The volatility effect of diaspora’s location: A migration portfolio approach," Cahiers du GREThA 2018-09, Groupe de Recherche en Economie Théorique et Appliquée.
    16. Fafchamps, Marcel, 2012. "Development, agglomeration, and the organization of work," Regional Science and Urban Economics, Elsevier, vol. 42(3), pages 459-472.
    17. Emiko Fukase, 2014. "Job Opportunities in Foreign Firms and Internal Migration in Vietnam," Asian Economic Journal, East Asian Economic Association, vol. 28(3), pages 279-299, September.

    More about this item

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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