What Sways the Decision to Migrate? An Empirical Analysis of the Argentinean Case

Abstract

Labour mobility among different regions within a country is known as one of the mechanisms that can contribute to the adjustment of regional labour markets. This will only occur on the condition that the individual’s responses to labour earnings differentials are sensitive enough. This paper provides with empirical evidence for Argentina concerning the analysis of the individual’s decision to migrate, and in particular, the response of the individuals to regional wage differentials, based on individual data. A random effects logit for panel data models the migration decision. The real expected income was found to signigficantly influence the probability of migrating.

Keywords

• migration decision
• income
• random effects logit
• Argentina