Market structure and the link between migration and trade

Silvio Tai

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Abstract: Many recent studies have looked at the impact of international migration on trade and found a significant effect. They posit that migration fosters trade by lowering costs or by means of a preference bias. However, to my knowledge, market structure has not as yet been considered. Using data from Switzerland, this paper empirically assesses the extent to which migration affects trade, taking goods differentiation into account. A monopolistic model with a multisector economy (Chaney in Am Econ Rev 98(41):1707–1721, 2008) is then empirically estimated. The findings show that market structure explains the different channels through which migration affects trade.

Keywords: Migration; International trade; Market structure; Gravity; F10; F22 (search for similar items in EconPapers)
Date: 2009-05-28
Note: View the original document on HAL open archive server: https://hal.science/hal-00535217v1
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Citations: View citations in EconPapers (21)

Published in Review of World Economics, 2009, 145 (2), pp.225-249. ⟨10.1007/s10290-009-0012-7⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-00535217

DOI: 10.1007/s10290-009-0012-7

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