As society ads more and more value to human capital, it is becoming increasingly important. Especially for regions which need migration to smooth their overall unemployment. This aspect of migration within the Eurozone is of vital importance as Dreyer & Schmid (2013) earlier concluded that the fiscal transfers are highly lacking. Therefore according to Mundell’s theory (1961), in order to correct this lacking aspect of the Eurozone, there should be a high internal migration to be an optimum currency area. I assume that there is a strong relationship between unemployment and migration based upon Mundell’s theory. I try to construct an econometric model to test this hypothesis. I find that the relationship between migration and unemployment is far from the assumptions and other remedies have to be considered to smooth out the unemployment differences within the Eurozone for the companies and investors to fully benefit from the Eurozone.
|Uddannelser||Erhvervsøkonomi, (Bachelor/kandidatuddannelse) Bachelor el. kandidat|
|Udgivelsesdato||23 maj 2013|
|Vejledere||Johannes Kabderian Dreyer|
- Optimum currency area
- Labor mobility