Trade, FDI and Migration - Université de Pau et des Pays de l'Adour Access content directly
Journal Articles International Economic Journal Year : 2013

Trade, FDI and Migration


This article provides a theoretical synthesis of the New Economic Geography to analyse the links between trade, FDI and migrations. We find that liberalizing from high trade costs, a country can attract both capital and labour - the bifurcation pattern is a gradual peripheral exodus of worker associated with capital flight from the periphery - but after a threshold of trade costs, opening trade generates return migration toward the periphery while capital remains agglomerated in the core. The model is built on the assumption that factors are sector specific. By relaxing this assumption and by providing a second model where workers are mobile between industries (vertically linked) but also between countries we confirm this result.
Fichier principal
Vignette du fichier
SSRN-id1766173.pdf (227.7 Ko) Télécharger le fichier
Origin : Files produced by the author(s)

Dates and versions

hal-02463456 , version 1 (01-02-2020)



Fabien Candau. Trade, FDI and Migration. International Economic Journal, 2013, 27 (3), pp.441-461. ⟨10.1080/10168737.2012.676058⟩. ⟨hal-02463456⟩


125 View
182 Download



Gmail Facebook X LinkedIn More