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Rural urban migration with heterogeneous firms, heterogonous laborer and the effect of wage subsidy

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Listed:
  • Sravaitri CHAUDHURI

    (University of Calcutta, Kolkata, India)

  • Ranajoy BHATTACHARYYA

    (Indian Institute of Foreign Trade, Kolkata, India)

  • Sukanta BHATTACHARYA

    (University of Calcutta, Kolkata, India)

Abstract

Rural urban migration is an important aspect towards the process of urbanization and development and therefore has been a topic of interest and debate for many economists for several decades. As a result, there exists a vast and diverse literature empirical and theoretical on the causes, consequences and therefore policy considerations and implications of rural urban migration. In this paper a few of the empirical observations are incorporated in a general equilibrium model based on Harris Todaro (1970) and Melitz (2003) to make it more realistically relevant. Later the effect a usual policy of rural wage subsidy is observed in the new model.

Suggested Citation

  • Sravaitri CHAUDHURI & Ranajoy BHATTACHARYYA & Sukanta BHATTACHARYA, 2021. "Rural urban migration with heterogeneous firms, heterogonous laborer and the effect of wage subsidy," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(3(628), A), pages 143-156, Autumn.
    • Handle: RePEc:agr:journl:v:3(628):y:2021:i:3(628):p:143-156
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    References listed on IDEAS

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