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Where Enterprises Lead, People Follow? Links between Migration and German FDI

Author

Listed:
  • Buch, Claudia M.
  • Kleinert, Jörn
  • Toubal, Farid
Abstract
Globalization has affected the integration of markets through many different channels, including movements of factors and trade in goods. From a theoretical point of view, the interaction between the different channels of integration can take different forms. The aim of this paper is to analyze the interaction between different channels of integration empirically. More specifically, we use state-level German data to answer the question whether and how migration and FDI decisions and thus integration of labor and capital markets are linked. Our findings suggest that FDI and migration have similar determinants. Moreover, there is substantial evidence that factors cluster.

Suggested Citation

  • Buch, Claudia M. & Kleinert, Jörn & Toubal, Farid, 2003. "Where Enterprises Lead, People Follow? Links between Migration and German FDI," Kiel Working Papers 1190, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkwp:1190
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    File URL: https://www.econstor.eu/bitstream/10419/17718/1/kap1190.pdf
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    migration; foreign direct investment; network effects;
    All these keywords.

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F0 - International Economics - - General
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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