<p>The paper investigates the effects of altruism on the pattern of labour migration in a two-country overlapping generations model. We show that differences in degrees of altruism across countries lead to bilateral migration flows. Starting from the autarkic steady-state equilibrium, restrictions on labour migration are relaxed. In temporary post migration equilibrium factor prices are equal across countries. We then characterize the unique stable steady-state equilibrium: both countries are populated and this equilibrium is not a Pareto improvement. Some individuals prefer to live in autarky, others in an integrated world economy.
</p><p></p>
Authors
Alice Mesnard
Damien Gaumont
Journal article details
- JEL
- D64, E13, F22
- Issue
- January 2000
Suggested citation
Gaumont, D and Mesnard, A. (2000). 'Altruism and international labour migration' (2000)
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