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A Model of Multiple Equilibria in Geographic Labor Mobility

21 Pages Posted: 29 Jan 2006  

Antonio Spilimbergo

International Monetary Fund (IMF) - Research Department; Centre for Economic Policy Research (CEPR); University of Michigan at Ann Arbor - The William Davidson Institute

Luis Ubeda

Universidad Carlos III de Madrid

Multiple version iconThere are 2 versions of this paper

Date Written: February 2002

Abstract

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 showing the existence of multiple equilibria, rather than in an exogenous manner by introducing ex-ante regulations or unemployment benefits. This model can also explain why individuals from some communities form 'sister' communities in some cases and not in others.

Keywords: Migration, multiple equilibria

JEL Classification: J61, E24, R23

Suggested Citation

Spilimbergo, Antonio and Ubeda, Luis, A Model of Multiple Equilibria in Geographic Labor Mobility (February 2002). IMF Working Paper, Vol. , pp. 1-21, 2002. Available at SSRN: https://ssrn.com/abstract=879393

Antonio Spilimbergo (Contact Author)

International Monetary Fund (IMF) - Research Department ( email )

700 19th Street NW
Washington, DC 20431
United States
202-623-6346 (Phone)
202-623-6336 (Fax)

Centre for Economic Policy Research (CEPR)

77 Bastwick Street
London, EC1V 3PZ
United Kingdom

University of Michigan at Ann Arbor - The William Davidson Institute ( email )

724 E. University Ave.
Wyly Hall
Ann Arbor, MI 48109-1234
United States

Luis Antonio Ubeda Rives

Universidad Carlos III de Madrid ( email )

E-28903 Getafe (Madrid)
SPAIN

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