A Static Probabilistic Model of Immigration and Economic Integration

İlkay YILMAZ

Öz


In this paper, by using a probabilistic static model, a possible relationship between the desirability of economic integration and (illegal) immigration is studied. Using the framework developed in Levy (1997), it is shown that migration from a labour abundant country to a capital abundant country might lead to economic integration between the two countries. By reducing the median voter's utility in the capital abundant host country, migration induces voters in this country to support a free trade agreement with the labour abundant migrant sending country that will stop further immigration.

Anahtar Kelimeler


Economic Integration; Free Trade Agreements; Inequality; International Trade; Median - Voter

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Doğuş Üniversitesi Dergisi'nin içeriği Creative Commons Atıf-Gayriticari 4.0 Uluslararası Lisansı ile lisanslanmıştır.
 

İletişim:

Doğuş Üniversitesi Dergisi
Acıbadem Zeamet Sokak, No: 21
34722 - Kadıköy, İSTANBUL
E-posta: journal@dogus.edu.tr