Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/216395
Authors: 
Bertoli, Simone
Fernández-Huertas Moraga, Jesús
Guichard, Lucas
Year of Publication: 
2020
Series/Report no.: 
IZA Discussion Papers No. 13083
Abstract: 
Acquiring information about destinations can be costly for migrants. We model information frictions in the rational inattention framework and obtain a closed-form expression for a migration gravity equation that we bring to the data. The model predicts that ows from countries with a higher cost of information or stronger priors are less responsive to variations in economic conditions at destination, as migrants rationally get less information before deciding where to move. The econometric analysis reveals systematic heterogeneity in the pro-cyclical behavior of migration flows across origins that is consistent with the existence of information frictions.
Subjects: 
rational inattention
information
international migration
gravity equation
JEL: 
F22
D81
D83
Document Type: 
Working Paper

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