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Consider a population of farmers who live around a lake. Each farmer engages in trade with his two adjacent neighbors. The trade is governed by a prisoner's dilemma "rule of engagement". A farmer's payoff is the sum of the payoffs from the two prisoner's dilemma games played with his two...
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Drawing on the literature of occupational status and social distance, a theory is developed of labor migration that is prompted by a desire to avoid "social humiliation". A closed-economy general equilibrium model that incorporates occupational status and examines the interaction between the...
Persistent link: https://www.econbiz.de/10003944851
This paper develops a model of voluntary migration into degrading work. The essence of the model is a tension between two "bads" that which arises from being relatively deprived at home, and that which arises from engaging in humiliating work away from home. Balancing between these two "bads"...
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A theory is developed of labor migration that is prompted by a desire to avoid "social humiliation". In a general equilibrium framework it is shown that as long as migration can reduce humiliation sufficiently, migration will occur even between two identical economies. Migration increases the...
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