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The Role of Migration as Adjustment Mechanism in the Crisis and EMU

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  • Peter Huber

    (Austrian Institute of Economic Research (WIFO) and Ekonomikos Fakultetas, Vilniaus Universitetas, Arsenal, Objekt 20, 1030 Wien, Austria)

Abstract

Using ELFS data from 2004 to 2014 we analyse labour migration as an adjustment mechanism to asymmetric regional labour demand shocks shortly before, during and after the Great Recession in the EU. The results suggest that in this period migration was rather responsive to regional economic conditions, but also point to a substantial heterogeneity across demographic groups, periods and country groups. The mobility of high-skilled persons and foreign born contributed much more strongly to the adjustment of labour markets than the migration of less-skilled and natives. Furthermore, among the large integration steps from 2004 to 2014 (i.e., the accession of 12 countries to the EU and the successive liberalisation of immigration from the countries joining the EU after 2004 and Euro accession) mainly the EU-enlargements worked to improve the adjustment capability of European labour markets through migration.

Suggested Citation

  • Peter Huber, 2018. "The Role of Migration as Adjustment Mechanism in the Crisis and EMU," Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Mendel University Press, vol. 66(6), pages 1497-1508.
    • Handle: RePEc:mup:actaun:actaun_2018066061497
    DOI: 10.11118/actaun201866061497
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    Cited by:

    1. Ondřej Schneider, 2022. "Labour Migration In The European Union: The Case Of Central And Eastern Europe," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 67(233), pages 7-38, April – J.

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