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Labor Market Conditions and Geographic Mobility in the Eurozone

Author

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  • Florence Huart

    (Université de Lille, Cité scientifique (SH2))

  • Médédé Tchakpalla

    (Université de Lille, Cité scientifique (SH2))

Abstract

The Eurozone crisis has sparked renewed interest in the literature about optimum currency areas, in particular in the role of labor mobility as a mechanism of adjustment to shocks. We study the response of mobility in the Eurozone to national labor market conditions. We measure mobility by using data on stocks of foreign population by nationality. We find that mobility in the Eurozone is relatively low. It responded to national differences in unemployment during the crisis, but neither to national differences in wages nor to national differences in GDP per capita.

Suggested Citation

  • Florence Huart & Médédé Tchakpalla, 2019. "Labor Market Conditions and Geographic Mobility in the Eurozone," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 61(2), pages 263-284, June.
    • Handle: RePEc:pal:compes:v:61:y:2019:i:2:d:10.1057_s41294-018-0073-5
    DOI: 10.1057/s41294-018-0073-5
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    More about this item

    Keywords

    Optimum currency areas; Labor mobility; European monetary union;
    All these keywords.

    JEL classification:

    • F45 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Macroeconomic Issues of Monetary Unions
    • F66 - International Economics - - Economic Impacts of Globalization - - - Labor
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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