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Semiparametric analysis of German East–West migration intentions: facts and theory

✍ Scribed by Michael C. Burda; Wolfgang Härdle; Marlene Müller; Axel Werwatz


Book ID
101285637
Publisher
John Wiley and Sons
Year
1998
Tongue
English
Weight
222 KB
Volume
13
Category
Article
ISSN
0883-7252

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✦ Synopsis


East±West migration in Germany peaked at the beginning of the 1990s although the average wage gap between Eastern and Western Germany continues to average about 25%. We analyse the propensity to migrate using microdata from the German Socioeconomic Panel. Fitting a parametric Generalized Linear Model (GLM) yields non-linear residual behavior. This ®nding is not compatible with classical Marshallian theory of migration and motivates the semiparametric analysis. We estimate a Generalized Partial Linear Model (GPLM) where some components of the index of explanatory variables enter non-parametrically. We ®nd the estimate of the non-parametric in¯uence in concordance with a number of alternative migration theories, including the recently proposed option-value-of-waiting theory.


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