This paper proposes a theory of migration decisions in which cultural traits play a role. Individuals are assumed to value comfort (high wages) and conformity (interactions with individuals who share similar world views). Regions are assumed to differ economically (average wages) and culturally...

This paper analyzes the reservation wages of first and second generation migrants. Based on recently collected and rich survey data of a representative inflow sample into unemployment in Germany, we empirically test the hypothesis that reservation wages increase from first to second generation...