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The impact of internal and international migration on regional convergence in Poland

According to neoclassical theory, migration is expected to speed up the convergence process between countries (Barro, Sala-i-Martin 2004). The flow of labour from low-wage regions to high-wage regions should equalise payrolls. However, the impact of migration on convergence rates is unclear when the labour flow is heterogeneous. Moreover, the movement of labour towards wealthier areas depresses the demand for goods, services and the factors of production in the area lagging behind. Initial inequalities lead to the further accumulation of disparities as explained by Myrdal's (1957) theory of circular and cumulative causation.In this paper we examine the relation between migration and regional convergence in Poland for the period 1995-2006. The impact of migration is estimated by including migration rate into growth regression while human capital is controlled for. The migration effect is decomposed into inter- and intranational rates. To check the stability of the results in panel data analysis, different econometric specifications are employed.Results indicate the lack of absolute and conditional regional convergence and statistically insignificant impact of inter- and intranatonal migration rates on the speed of divergence between Polish voivodeships.

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Kategoria
Publikacja monograficzna
Typ
rozdział, artykuł w książce - dziele zbiorowym /podręczniku w języku o zasięgu międzynarodowym
Język
angielski
Rok wydania
2009

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