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The influence of wage and unemployment differentials on labour mobility in the EU: a meta-analysis

The influence of wage and unemployment differentials on labour mobility in the EU: a meta-analysis
The influence of wage and unemployment differentials on labour mobility in the EU: a meta-analysis
This paper reviews the empirical literature on the impact of wage and unemployment differentials on the mobility of labour in the European Union. We calculated comparable elasticities for 26 empirical studies. The mean elasticity in the literature is quite small; around +0.4 for wage and -0.15 for unemployment differentials. A 1%-point rise in the host-country wage therefore raises the flow of in-migrants in that country by 0.4%. There exists substantial variation across studies, however. By performing a meta-analysis, the paper aims to explain this variation by the differences in characteristics of the underlying studies. Systematic differences are found with respect to the size of the regions and the specific country that is considered.
Centraal PlanBureau
Bardsley, Nick
b589d83a-47f8-49da-86af-e60d696714af
Ederveen, Sjef
cfcfda1b-65fe-4d1c-a1ff-a25f1d53656d
Bardsley, Nick
b589d83a-47f8-49da-86af-e60d696714af
Ederveen, Sjef
cfcfda1b-65fe-4d1c-a1ff-a25f1d53656d

Bardsley, Nick and Ederveen, Sjef (2003) The influence of wage and unemployment differentials on labour mobility in the EU: a meta-analysis (ACCESSLAB Research Report) The Hague, Holland. Centraal PlanBureau

Record type: Monograph (Project Report)

Abstract

This paper reviews the empirical literature on the impact of wage and unemployment differentials on the mobility of labour in the European Union. We calculated comparable elasticities for 26 empirical studies. The mean elasticity in the literature is quite small; around +0.4 for wage and -0.15 for unemployment differentials. A 1%-point rise in the host-country wage therefore raises the flow of in-migrants in that country by 0.4%. There exists substantial variation across studies, however. By performing a meta-analysis, the paper aims to explain this variation by the differences in characteristics of the underlying studies. Systematic differences are found with respect to the size of the regions and the specific country that is considered.

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Published date: 28 April 2003

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Local EPrints ID: 35311
URI: https://eprints.soton.ac.uk/id/eprint/35311
PURE UUID: a4eec485-a1ae-4804-8e14-e110b36dcc6e

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Date deposited: 13 May 2009
Last modified: 17 Jul 2017 15:48

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