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Should I stay or should I go? On relative deprivation and migration dynamics

Link to article:

[PDF]

Authors:

Mehlum, Halvor

Year:

2001

Reference:

Review of Development Economics

Forthcoming

Summary

An overlapping generation model for rural to urban labour migration is developed. In the migration decision the possible migrants consider both the absolute income gain and the relative deprivation associated with moving to town. It is shown that the relative deprivation mechanism introduces a positive externality between generations of migrants that can generate dual equilibria.

JEL:

O150, J610

Project:

Oppdragsgiver:
Oppdragsgivers prosjektnr.:
Frisch prosjekt:

Contact:

halvor.mehlum@econ.uio.no

Financing:

Research Council of Norway