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Analysis of interregional labor migration in Spain using gross flows

Authors
Publisher
Instituto Valenciano de Investigaciones Económicas (IVIE)
Publication Date
Disciplines
  • Economics

Abstract

This paper studies the economic determinants, from an aggregate perspective, of Spanish interregional labor force flows. Its main characteristics are that it is based on a matching model of the labor market applied to migration, and that uses gross flows instead of net ones as other studies do. Among the main results, we get that unemployment increases out-migration because unemployed people search more actively, but when the unemployment rate is above certain level, this effect is reduced. We also get that wages are a significant variable with the expected sign when entered as the rate of change of relative wages.

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