Interregional migration and regional economic structure

This dissertation explores the dynamic spatial flow patterns of interregional migration and tests the changing role of wage differentials as a cause of population redistributions over space in the restructuring process of regional economy in the US.; In Chapter 1, the spatial structure of interregional migration is analyzed with the integrated perspective on the temporal and spatial changes. Inter-MSA migration is at the core of the analysis to reflect the variations in regional labor market. To sketch the dynamic patterns of interregional migration, it is critical to analyze the annual migration flows using IRS migration data. Considering the scale issues, this chapter tested the roles of hierarchical structure among the eighty largest MSAs.; Chapter 2 exploits the panel dataset on interregional migration among nineteen MSAs in the US from 1993 to 2001 to test the non-linear relationship between interregional migration and wage differentials. Under uncertainty, a potential migrant cannot easily make a decision on migration; rather he can increase utility by postponing decisions. This view supports the application of the 'option value of waiting' theory in migration model specification. This is shown by the inertia from the non-linear relation between wage differentials and interregional migration, adding a third decision criterion, "when to move" to the two traditional decision criteria, "whether to move" and "where to move".; Chapter 3 explores the role of regional economic structure in the wage differential driven migration. It mainly focuses on the diminishing role of wage differential driven migration with the possible complementary roles of interregional trade and regional economic structures. Negative correlation between interregional trade and wage differentials is an evidence for the confining role of the trade on interregional wage differentials. If wage differentials within the inertia range are continuously confined to certain level due to the role of interregional trade, wage differentials fail to explain the interregional migration as proposed by the utility maximization theory. Regional economic structure plays an important role to explain inter-MSA migration.