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Epidemiological models assume gravity-like interactions of individuals across space without microfoundations. We … of people across space obey a structural gravity equation. By means of an application to data from Great Britain we show … that our structural-gravity framework: provides a rationale for quarantines; offers a clear mapping from observed geography …
Persistent link: https://www.econbiz.de/10012833717
In this note, we show that labour market integration can be a double-edged sword. In the presence of local human capital externalities, integration and the ensuing agglomeration of skilled labour can cause a decline in human capital and the total wage sum (net of education costs). In particular,...
Persistent link: https://www.econbiz.de/10008697043
We develop a model of double matching in the labor market and the social environment in order to explain different migration patterns in response to local economic shocks. This approach explains the different behaviors of workers in different groups, regions, or countries in an endogenous way by...
Persistent link: https://www.econbiz.de/10013317935
If someone lives in an economically depressed place, they were probably born there. The presence of people with local ties – a preference to live in their birthplace – leads to smaller migration responses. Smaller migration responses to wage declines lead to lower real incomes and make real...
Persistent link: https://www.econbiz.de/10012182408
Declining internal migration in the United States is driven by increasing home attachment in locations with initially high rates of population turnover. These 'fast' locations were the population growth destinations of the 20th century, where home attachments were low, but have increased as...
Persistent link: https://www.econbiz.de/10012198332
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...
Persistent link: https://www.econbiz.de/10011752851
We build a dynamic model of migration where, in addition to classical mobility costs, workers face informational frictions that decrease their ability to compete for distant job opportunities. We structurally estimate the model on a matched employer-employee panel dataset describing labor market...
Persistent link: https://www.econbiz.de/10011617382
We develop a model of double matching in the labor market and the social environment in order to explain different migration patterns in response to local economic shocks. This approach explains the different behaviors of workers in different groups, regions, or countries in an endogenous way by...
Persistent link: https://www.econbiz.de/10014122009
This paper explores the relation between social capital and regional labour mobility. Individuals live for two periods. In the first period they work and invest into regionally immobile social capital. At the end of the period there may be an income shock. In the case of a shock, individuals...
Persistent link: https://www.econbiz.de/10014095925
This paper studies how partial information regarding the true number of infected affects optimal mitigation and testing policies during the COVID-19 pandemic. We start by documenting two motivating observations which highlight the value of information: First, an overreaction in mitigation at the...
Persistent link: https://www.econbiz.de/10013214741