Working Paper: CEPR ID: DP9986
Authors: Tobias Ketterer; Andrés Rodríguez-Pose
Abstract: In this paper we investigate the impact of local quality of government on the attractiveness of European regions to migrants. The analysis is based on panel data estimations of 254 regions for the period between 1995 and 2009. Different instrumental variable techniques have been employed in order to assess the extent to which differences in local quality of government affect migration decisions and to account for potential endogeneity concerns. The results point towards an important influence of specific factors related to the regional quality of government, such as the fight against corruption or government effectiveness, on the ability of European regions to attract future residents.
Keywords: Europe; Institutions; Net Migration; Population Change; Quality of Government; Regions
JEL Codes: O43; R23; R50
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| local government quality (H70) | migration rates (J61) |
| lower corruption levels (H57) | migration rates (J61) |
| higher government effectiveness (H11) | migration rates (J61) |
| high unemployment (J64) | migration rates (J61) |
| larger agricultural workforce (J43) | migration rates (J61) |
| government quality (H11) | attractiveness of regions to migrants (R23) |
| government quality (H11) | enforcement of legal rights (P14) |
| government quality (H11) | perception of public services (H40) |