International migration is a key topic of debate, especially following the surge in asylum applications in the EU in 2015, which highlighted longstanding trends of increasing immigration. Over the past 50 years, the number of legal immigrants has quadrupled in the US and EU, with a significant rise from developing countries. This increase is driven by factors like demographic changes, economic inequality, and globalization. However, the complex interplay of these factors and their long-term effects on migration patterns are not well understood, particularly regarding immigration policies.
To address this gap, new methodologies will be developed to analyze the long-term determinants of migration, including the role of job vacancies and potential migrants. Additionally, the temporary nature of migration is notable, with many immigrants leaving within five years, posing challenges for integration and social cohesion. This project will also investigate the links between internal and international migration, utilizing innovative data sources like Big Data and geo-referenced information to improve understanding of migration drivers.
Furthermore, the impact of daily cross-border commuting on economies, particularly in regions like Luxembourg, will be examined, alongside the need for new models that analyze the interplay between commuting and residential choices. Overall, this research aims to enhance knowledge of migration dynamics and inform policy development.
Numerous models have been developed to analyze how international migration impacts welfare and income in host countries, focusing on labor markets, fiscal effects, and productivity, while also considering non-economic concerns like social cohesion and national identity. Research indicates that immigration generally has small effects on native wages but significant redistributive impacts among different worker groups. To deepen understanding, there is a need for models that examine wage responses in more detail.
Moreover, the effects of cross-border mobility on growth and income distribution are not well-explored, particularly regarding changes in human capital and cultural diversity. Understanding how firms respond to increases in cross-border workers is crucial, especially for transitioning economies like Luxembourg’s towards a knowledge-based model.
Additionally, immigrant entrepreneurship is a growing area of interest, focusing on the contributions of immigrant entrepreneurs and their interactions with native firms. Investigating how cross-border workers and immigrants differ in their entrepreneurial impacts and the overall effects on the local economy is essential.
The relationship between immigration and political attitudes has also gained attention, with studies showing that immigration influences support for populist parties. Future research aims to explore how cross-border commuting affects political preferences and how populism may influence migration patterns.
Lastly, significant changes in labor market dynamics due to rising cross-border worker populations necessitate an understanding of their implications for labor regulations. Additionally, the transmission of social norms through migration and the challenges of urban planning in cross-border regions highlight the need for comprehensive models to address land use and transportation issues effectively.