Labour mobility and interprovincial trade in Canada
Nusrate Aziz and
Gerry Mahar
No 341, GLO Discussion Paper Series from Global Labor Organization (GLO)
Abstract:
This study estimates the impact of interprovincial and international migration on interprovincial trade using annual data from 1981- 2016 for Canadian provinces. We apply both the gravity and the spatial trade models for estimation using a number of panel estimators. We find that the endogeneity issue should be addressed when estimating the relationship between migration and interprovincial trade. Estimated results show that interprovincial and international net migrations are positive and significant determinants for interprovincial trade of Canada. Interprovincial immigration is more influential than international immigration in explaining interprovincial trade. Interprovincial imports are influenced more by interprovincial and international migration than interprovincial exports. Province-wise estimates indicate that Quebec, British Columbia, Saskatchewan, and New Brunswick are positively affected by interprovincial migration. Among them, all except New Brunswick are also positively affected by international migration. The gravity and the spatial trade models are useful to explain Canadian interprovincial trade. The pooled OLS, fixed effects, 2SLS and SGMM estimators are used in this study. Our results are robust to different estimation methods and alternative measures using both the flow and the stock net migration in Canada’s provinces.
Keywords: interprovincial migration; international migration; interprovincial trade; gravity model; spatial trade model; endogeneity; IV approach (search for similar items in EconPapers)
JEL-codes: C33 C36 F16 F22 (search for similar items in EconPapers)
Date: 2019
New Economics Papers: this item is included in nep-lma and nep-mig
References: Add references at CitEc
Citations: View citations in EconPapers (1)
Downloads: (external link)
https://www.econstor.eu/bitstream/10419/195101/1/GLO-DP-0341.pdf (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:zbw:glodps:341
Access Statistics for this paper
More papers in GLO Discussion Paper Series from Global Labor Organization (GLO) Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().