On Migration and Unemployment: Evidence from Italian Graduates

Giorgio Di Pietro

Economic Issues Journal Articles, 2005, vol. 10, issue 2, 11-28

Abstract: This paper examines the impact of the unemployment rate on the decision to migrate among recent Italian graduates. A fixed-effects approach is used to avoid potential omitted variable problems. This method allows us to account for unobservable location-specific characteristics that are likely to be correlated with the unemployment rate and the probability that an individual migrates. The empirical results highlight the importance of controlling for location-specific effects and show that lower employment opportunities are likely to encourage people to migrate if they do not have a job, but exert no influence on those who are employed.

Date: 2005
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