Migration in Germany

Abstract

This article investigates migration in postunification Germany, focusing on three particular issues: Do Germans migrate to improve their net wages or for higher levels of amenities? Is migration behavior in East Germany the same as for unified Germany? And finally, is there a difference between age groups in terms of migration? In addition, the authors will control for spatial dependence in the migration model. The authors show that Germany has both equilibrium model and disequilibrium model aspects. The authors also find that migration behavior depends on both different stages in the life cycle and the location. Younger people value amenities higher, while middle-aged people and East Germans prefer regions with low unemployment. Surprisingly, retirees do not have a preference for amenities unless they are from East Germany.