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The Relation Between Global Migration and Trade Networks

Sgrignoli, Paolo and Metulini, Rodolfo and Schiavo, Stefano and Riccaboni, Massimo The Relation Between Global Migration and Trade Networks. EIC working paper series #6/2013 IMT Institute for Advanced Studies Lucca ISSN 2279-6894.

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In this paper we develop a methodology to analyze and compare multiple global networks. We focus our analysis on the relation between human migration and trade. First, we identify the subset of products for which the presence of a community of migrants significantly increases trade intensity. To assure comparability across networks, we apply a hypergeometric filter to identify links for which migration and trade intensity are both significantly higher than expected. Next we develop an econometric methodology, inspired by spatial econometrics, to measure the effect of migration on international trade while controlling for network interdependencies. Overall, we find that migration significantly boosts trade across sectors and we are able to identify product categories for which this effect is particularly strong.

Item Type: Working Paper (EIC working paper series)
Uncontrolled Keywords: Keywords: Trade, Migration, networks, gravity model, spatial econometric - JEL code: F10, F22, C1, D85
Subjects: H Social Sciences > HB Economic Theory
H Social Sciences > HD Industries. Land use. Labor
J Political Science > JV Colonies and colonization. Emigration and immigration. International migration
Research Area: Economics and Institutional Change
Depositing User: Ms T. Iannizzi
Date Deposited: 09 Oct 2013 14:10
Last Modified: 28 Jul 2014 09:34
URI: http://eprints.imtlucca.it/id/eprint/1830

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