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Ever since Sjaastad (1962), researchers have struggled to quantify the psychic costs of migration. We monetize psychic cost as the wage premium for moving to a culturally different location. We combine administrative social security panel data with a proxy for cultural difference based on...
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workers with a lower education. In this paper, we quantify the global impact of this skill bias in migration. Based on a … the skill bias in migration, while a small number of sending countries is significantly worse off. The negative effect in …
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will send the most migrants; and (iv) the largest inflows in absolute terms are predicted for Germany, Italy and Austria …
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