SPATIAL ANALYSIS OF THE IMPACT OF MIGRATION ON REGIONAL GROWTH IN IRAN (2006-16)

Shekoofeh FARAHMAND

Associate Professor, Economics Department, University of Isfahan, Iran

sh.farahmand@ase.ui.ac.ir

Narges GHASEMIAN

Ph.D candidate of economics, Alzahra University of Tehran, Iran

N.Ghasemian@alzahra.ac.ir

Abstract

One of the most important applications of economic growth models is for regional economic growth. In regional growth studies, it is necessary to consider spatial effects because of spatial dependence among the growth rates of regions. This research investigates the impact between net migration and its spatial lag on regional growth, based on the neoclassical (Solow) growth model. The used model in the study is the Dynamic Panel Data (DPD) which has been specified as a Spatial Durbin Model (SDM) and estimated by the spatial generalized method of moments (SGMM). The specified model has been tested for the 30 provinces of Iran in the period of 2006-16. The estimated results show that the time-lagged dependent variable had a positive and highly significant effect on income per capita. The impact of initial income per capita on growth is negative, and the convergence hypothesis is thus accepted. That is, poor provinces grow faster than the rich. The income per capita and growth are positively related to net migration rate. Expectedly, the new coming people to a province would increase income per capita and growth. The estimated coefficient of the spatial lag of the dependent variable is statistically significant and demonstrates spatial dependence in income as well as economic growth among the provinces of Iran. Every province’s growth rate was positively impacted by the economic growth of its neighbors. However, net migration has no spatial effect on income per capita and growth. In other words, the regional economic growth has not been influenced by migration to neighboring provinces.

Keywords: Neoclassical growth model, convergence, migration, spatial Durbin model, spatial generalized method of moments.

JEL classification: O47, C23, R23
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LIVE HERE…? NO, THANK YOU! MIGRATION AND ITS CAUSES IN MOENCHENGLADBACH – A CITY FOR LIVING AND WORKING

Rüdiger HAMM

Head of the Niederrhein Institute for Regional and Structural Research (NIERS) at the Niederrhein University of Applied Sciences in Moenchengladbach, Germany, Richard-Wagner-Straße 140, 41065 Moenchengladbach, +4921611866411

ruediger.hamm@hs-niederrhein.de

Geogr. Katja KEGGENHOFF

Research Assistant at the Niederrhein Institute for Regional and Structural Research (NIERS) at the Niederrhein University of Applied Sciences in Moenchengladbach, Germany, Richard-Wagner-Straße 140, 41065 Moenchengladbach, +4921611866424, katja.keggenhoff@hs-niederrhein.de

Angelika JAGER

Research Assistant at the Niederrhein Institute for Regional and Structural Research (NIERS) at the Niederrhein University of Applied Sciences in Moenchengladbach, Germany, Richard-Wagner-Straße 140, 41065 Moenchengladbach, +4921611866432, angelika.a.jaeger@gmail.com

The original version of this document was drafted in German and published in the journal RaumPlanung 185 / 3-2016 of the `Informationskreis für Raumplanung e.V.´ (IfR).

Abstract

One of the essential tasks and goals of local policy makers and administrations is to provide a high quality of life and work for citizens and employees in a specified location. This especially applies in times of demographic change, in which cities are increasingly facing the challenge of an aging and shrinking population in the inter-municipal competition. Hence, key questions arise, such as: Which factors determine choice of location of private households? How are these factors evaluated in the living and working area of Moenchengladbach? In order to answer these questions, in a first step the migration processes of the city of Moncheng-ladbach are examined based on secondary statistics. In a second step, three primary statistical sur-veys are conducted in order to reveal information on which crucial factors influence the choice of residence for the observed migration processes and how the quality of Moenchengladbach as a resi-dential location is evaluated.

Keywords: Migration, Urban development, Locational factors, Citizens’ satisfaction, Job mobility

JEL classification: R21, R32

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