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Macroeconomic Consequences of Global Endogenous Migration: A General Equilibrium Analysis

Vladimir Borgy, Xavier Chojnicki, Gilles Le Garrec () and Cyrille Schwellnus

No 385, CASE Network Studies and Analyses from CASE-Center for Social and Economic Research

Abstract: In this paper, we analyze the demographic and economic consequences of endogenous migrations flows over the coming decades in a multi-regions overlapping generations general equilibrium model (INGENUE 2) in which the world is divided in ten regions. Our analysis offers a global perspective on the consequences of international migration flows. The value-added of the INGENUE 2 model is that it enables us to analyze the effects of international migration on both the destination and the origin regions. A further innovation of our analysis is that international migration is treated as endogenous. In a first step, we estimate the determinants of migration in an econometric model. We show, in particular, that the income differential is one of the key variables explaining migration flows. In a second step, we endogenize migration flows in the INGENUE 2 model. In order to do so, we use the econometrically estimated relationships between demographic and income developments in the INGENUE model, which enables us to project long-run migration flows and to improve on projections of purely demographic models.

Keywords: CGEM; Migration; International capital flows (search for similar items in EconPapers)
JEL-codes: C68 F21 H55 J61 (search for similar items in EconPapers)
Pages: 52 Pages
Date: 2009
New Economics Papers: this item is included in nep-mig
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Related works:
Working Paper: Macroeconomic consequences of global endogenous migration: a general equilibrium analysis (2011) Downloads
Journal Article: Macroeconomic Consequences of Global Endogenous Migration: a General Equilibrium Analysis (2010) Downloads
Working Paper: Macroeconomic Consequences of Global Endogenous Migration: a General Equilibrium Analysis (2009) Downloads
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