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Migration and Labor Market Integration in Europe

Author

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  • Dorn, David

    (University of Zurich)

  • Zweimüller, Josef

    (University of Zurich)

Abstract

The European labor market allows for the border-free mobility of workers across 31 countries that cover most of the continent's population. However, rates of migration across European countries remain considerably lower than interstate migration in the United States, and spatial variation in terms of unemployment or income levels is larger. We document patterns of migration in Europe, which include a sizable migration from east to west in the last twenty years. An analysis of worker-level microdata provides some evidence for an international convergence in wage rates, and for modest static gains from migration. We conclude by discussing obstacles to migration that reduce the potential for further labor market integration in Europe.

Suggested Citation

  • Dorn, David & Zweimüller, Josef, 2021. "Migration and Labor Market Integration in Europe," IZA Discussion Papers 14538, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp14538
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    More about this item

    Keywords

    labor migration; wages; Europe; European Union single market;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F53 - International Economics - - International Relations, National Security, and International Political Economy - - - International Agreements and Observance; International Organizations
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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