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A framework for immigrant’s choice of location is based on recent studies on non-market interactions which explains how migrants concentrate. Applying data on the distribution of immigrants in 95 French provinces, the social interactions are subsequently estimated. This “social component” of migration is then tested on international trade, providing a direct measure of the impact of social networks on the economy.

No: ERSD-2009-02

Authors:
Silvio H. T. Tai — WTO

Manuscript date: January 2009

Key Words:

Social Interaction, Non-market interaction, International Trade, Migration

JEL classification numbers:

F10, F22

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This is a working paper, and hence it represents research in progress. This paper represents the opinions of the author, and is the product of professional research. It is not meant to represent the position or opinions of the WTO or its Members, nor the official position of any staff members. Any errors are the fault of the author. Copies of working papers can be requested from the divisional secretariat by writing to: Economic Research and Statistics Division, World Trade Organization, Rue de Lausanne 154, CH 1211 Geneva 21, Switzerland. Please request papers by number and title.

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