It is difficult to determine whether ghettos are good or bad, partly because racial segregation may have some effects that are unobservable. To overcome this challenge, we present a migration choice model that allows for estimating the overall effects of racial segregation. The key idea...

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...

Previous literature shows that internal migration rates are strongly procyclical. This would seem to imply that geographic relocation does not help mitigate negative local economic shocks during recessions. This paper shows that this is not the case. I document that net in-migration rates...

Discrete choice models are used to investigate the individual's choice among a discrete number of alternatives. The characteristics of each alternative, by means of a multinomial and nested multinomial models have been taken into account. Specifically, this study analyses the impact of choice...