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The impact of non-cognitive skills and risk preferences on rural-to-urban migration in Ukraine

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  • Ayhan, Sinem H.
  • Gatskova, Kseniia
  • Lehmann, Hartmut

Abstract

This paper provides evidence on the impact of non-cognitive skills and attitudes towards risk on the decision to migrate from rural to urban areas. Our analysis is based on a unique four-wave panel of the Ukrainian Longitudinal Monitoring Survey for the period between 2003 and 2012. Adopting the Five Factor Model of personality structure, and using it in the evaluation of non-cognitive skills, our results suggest that the personality trait openness to new experience increases the probability of migration. On the other hand, the non-cognitive skills conscientiousness and agreeableness are found to be negatively associated with the propensity to migrate. The impact of an increased willingness to take risks is more complex in that it increases the proclivity to move from rural areas to cities but lowers the migration intention from rural areas to towns. The effects are quantitatively significant and are robust to several sensitivity checks, including tests of reverse causality.

Suggested Citation

  • Ayhan, Sinem H. & Gatskova, Kseniia & Lehmann, Hartmut, 2020. "The impact of non-cognitive skills and risk preferences on rural-to-urban migration in Ukraine," Journal of Comparative Economics, Elsevier, vol. 48(1), pages 144-162.
    • Handle: RePEc:eee:jcecon:v:48:y:2020:i:1:p:144-162
    DOI: 10.1016/j.jce.2019.09.001
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    2. Nejad, Maryam Naghsh & Schurer, Stefanie, 2022. "Cognitive and non-cognitive abilities of immigrants: New perspectives on migrant quality from a selective immigration country," Journal of Economic Behavior & Organization, Elsevier, vol. 203(C), pages 107-124.
    3. Bertoni, Marco & Chattopadhyay, Debdeep & Gu, Yuanyuan, 2023. "Medical Brain Drain – Assessing the Role of Job Attributes and Individual Traits," IZA Discussion Papers 16243, Institute of Labor Economics (IZA).
    4. Tymofii Brik & Maksym Obrizan, 2020. "Job market effects of COVID-19 on urban Ukrainian households," Papers 2007.15704, arXiv.org.
    5. Rozhkova, Ksenia & Roshchin, Sergey & Roshchina, Yana, 2023. "Do non-cognitive skills matter for alcohol consumption? Evidence from Russia," Journal of Comparative Economics, Elsevier, vol. 51(2), pages 564-576.
    6. Cheng, Ziyi & Chen, Xi, 2024. "Cognitive ability, the Big Five, and rural-to-urban migration in China," China Economic Review, Elsevier, vol. 84(C).
    7. Kettlewell, Nathan & Tymula, Agnieszka & Yoo, Hong Il, 2023. "The Heritability of Economic Preferences," IZA Discussion Papers 16633, Institute of Labor Economics (IZA).
    8. Qian, Chen & Li, Fan & Antonides, Gerrit & Heerink, Nico & Ma, Xianlei & Li, Xiande, 2020. "Effect of personality traits on smallholders’ land renting behavior: Theory and evidence from the North China Plain," China Economic Review, Elsevier, vol. 62(C).
    9. Vasyltsiv, Taras & Lupak, Ruslan & Kunytska-Iliash, Marta & Levytska, Olha & Mulska, Olha, 2020. "Інструменти Регіональної Політики Збереження Людського Ресурсу Засобами Регулювання Зовнішньої Міграції Молоді Сільських Територій Карпатського Регіону," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 6(3), September.

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    More about this item

    Keywords

    Migration; Non-cognitive skills; Big five; Risk attitudes;
    All these keywords.

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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