The macroeconomic consequences of migration diversion: Evidence for Germany and the UK

Timo Baas and Herbert Brücker

No 3287, EcoMod2011 from EcoMod

Abstract: This paper examines the macroeconomic consequences of the diversion of migration flows away from Germany towards the UK in the course of the EU’s Eastern Enlargement. Based on a forecast of the migration potential under the conditions of free movement and of the transitional arrangements, we employ a CGE model with imperfect labour markets to analyse the macroeconomic effects of the diversion process. The effects of the EU Eastern enlargement are less favourable for Germany, but the diversion of migration flows has protected workers there against a detrimental impact on wages and unemployment.

Keywords: Germany; UK; General equilibrium modeling (CGE); Labor market issues (search for similar items in EconPapers)
Date: 2011-07-06
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Citations: View citations in EconPapers (4)

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Related works:
Journal Article: The macroeconomic consequences of migration diversion: Evidence for Germany and the UK (2012)
Working Paper: The macroeconomic consequences of migration diversion: evidence for Germany and the UK (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:ekd:002625:3287

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