The causality between economic growth and immigration in EU/EFTA member states

Manuel González Gómez and Mª Soledad Otero Giráldez

No 1701, Working Papers from Universidade de Vigo, Departamento de Economía Aplicada

Abstract: The EU/EFTA Member States attract yearly a large population of immigrants. Economists, demographers, historians and sociologists generally agree that the need to fill labor market gaps and the income differences between host and sending countries explain migration into industrialized nations. They also recognize that demographic changes that occur through immigration have important economic effects. However, regarding the existence of economic repercussions of migration, there is no conclusive evidence on the relationship between economic growth and immigration. To this end, the Granger Long-run causality based on the Error Correction Model (ECM) and Johansen cointegration technique and Granger Causality Test were applied to Eurostat database for EU/EFTA nations.

Keywords: Cointegration; foreign population; economic growth, Granger causality test (search for similar items in EconPapers)
JEL-codes: F62 J61 O15 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2017-09
New Economics Papers: this item is included in nep-int and nep-mig
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Persistent link: https://EconPapers.repec.org/RePEc:vig:wpaper:1701

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