Connecting Lagging and Leading Regions : The Role of Labor Mobility
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How can policies improve the welfare of
people in economically lagging regions of countries? Should
policies help jobs follow people? Or should they enable
people to follow jobs? In most countries, market forces have
encouraged the geographic concentration of people and
economic activities - policies that try to offset these
forces to encourage balanced economic growth have largely
been unsuccessful. However, policies that help people get
closer to economic density have improved individual welfare.
In this paper, the authors examine the migration decisions
of working-age Brazilians and find that the pull of higher
wages in leading regions has a strong influence on the
decision to migrate. However, many people are also
"pushed" to migrate, starved of access to basic
public services such as clean water and sanitation in their
hometowns. Although migration is welfare-improving for these
individuals, the economy may end up worse off as these
migrants are more likely to add to congestion costs in
cities than to contribute to agglomeration benefits.
Encouraging human capital formation can stimulate labor
mobility for economic gain; and improving access to and
quality of basic services in lagging regions will directly
improve welfare as well as reduce the type of migration
motivated by the search for life-supporting basic services.
Palabras clave
AGGLOMERATION BENEFITS, AIR, BASIC SOCIAL SERVICES, BIASES, CAPITAL ACCUMULATION, CAPITAL FORMATION, CENSUSES, CITIZEN, CLIMATE CHANGE, COLLEGE EDUCATION, CONGESTION, CONGESTION COSTS, COST OF LIVING, DEVELOPING COUNTRIES, DEVELOPMENT ECONOMICS, DEVELOPMENT POLICIES, DRINKING WATER, DRIVING, EARNINGS, ECONOMETRICS, ECONOMIC ACTIVITIES, ECONOMIC ACTIVITY, ECONOMIC DEVELOPMENT, ECONOMIC GROWTH, ECONOMIC OPPORTUNITIES, ECONOMIC OPPORTUNITY, EDUCATION LEVEL, EMPLOYMENT OPPORTUNITIES, ENROLLMENT, ENVIRONMENTAL CHANGE, ENVIRONMENTAL ECONOMICS, EQUILIBRIUM MODELS, EXTERNALITIES, FAMILY PLANNING, FERTILITY, HEALTH CARE, HEALTH CENTERS, HEALTH FACILITIES, HEALTH SERVICES, HOSPITAL, HOUSEHOLD LEVEL, HOUSEHOLDS, HUMAN CAPITAL, HUMAN DEVELOPMENT, IMMIGRANTS, INCOME, INCOME INEQUALITY, INCOME TAX, INDIVIDUAL WELFARE, INTERNAL MIGRATION, INTERNATIONAL BANK, INVOLUNTARY UNEMPLOYMENT, LABOR FORCE, LABOR MARKET, LABOR MOBILITY, LACK OF ACCESS, LEGAL STATUS, LIMITED ACCESS, LIVING STANDARDS, LOCAL DEVELOPMENT, LOCAL INFRASTRUCTURE, MIGRANT, MIGRANTS, MIGRATION, MIGRATION FLOWS, MINIMUM WAGE, MOBILITY, MOBILITY OF LABOR, MOTIVATION, NATIONAL LEVEL, NATIONAL RESOURCES, NEO-NATAL CARE, OLD MEN, POLICY DISCUSSIONS, POLICY RESEARCH, POLICY RESEARCH WORKING PAPER, POLITICAL ECONOMY, POPULATION DISTRIBUTION, POPULATION GROWTH, POPULATION MOVEMENTS, POPULATION SIZE, POTENTIAL MIGRANTS, PRIMARY EDUCATION, PRODUCTIVITY, PROGRESS, PUBLIC EDUCATION, PUBLIC POLICIES, PUBLIC SERVICE, PUBLIC SERVICES, PULL FACTORS, REGISTRATION SYSTEM, RETIREMENT, RURAL AREAS, SANITATION, SECONDARY EDUCATION, SEWAGE, SEX, TRANSPORT, TRANSPORTATION, TRANSPORTATION COST, TRANSPORTATION COSTS, UNEMPLOYED, UNEMPLOYMENT, UNEMPLOYMENT RATES, URBAN AMENITIES, URBAN AREAS, URBAN DEVELOPMENT, URBAN INFRASTRUCTURE, URBAN MIGRATION, URBANIZATION, VILLAGES, WAGE DIFFERENTIALS, WAGES, WATER SUPPLY, WORKING HOURS, YOUNG WORKERS