We analyze the effect of interregional migration on regional unemployment in Italy. With the help of a simple two-region model adapted to the main features of the Italian NorthSouth dualism, we illustrate the effects of labor mobility with and without human capital externalities. Using...

In spite of the huge amount of public aids to poor regions, relative movements in the distribution of income, labor productivity and employment rates across European regions show no positive relation with the distribution of the Structural Funds. Specifically, widening employment gaps and a...