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Martin Kahanec, Mariola Pytliková
The economic impact of east-west migration on the European Union
in: Martin Kahanec, Mikuláš Luptáčik, Philipp Schmidt-Dengler, Economic Policy in a Dynamic Environment. Selected Papers of the 2016 Joint Annual Meeting of the Slovak Economic Association and the Austrian Economic Association
Empirica, 2017, 44(3), pp.407-434,
This study contributes to the literature on destination-country consequences of international migration, with investigations on the effects of immigration from new EU member countries and Eastern Partnership countries on the economies of old EU member countries during the years 1995-2010. Using a rich international migration dataset and an empirical model accounting for the endogeneity of migration flows, we find positive and significant effects of post-enlargement migration flows from new EU member countries on old member countries' GDP, GDP per capita, and employment rate, and a negative effect on output per worker. We also find small, but statistically significant negative effects of migration from Eastern Partnership countries on receiving countries' GDP, GDP per capita, employment rate, and capital stock, but a positive significant effect on capital-to-labour ratio. These results mark an economic success of the EU's eastern enlargements and free movement of workers in an enlarged EU.
Keywords:EU enlargement, Free mobility of workers, Migration impacts, European single market, East-west migration, Eastern partnership
Research group:Labour Market, Income and Social Security

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