A gravity model for inter state migration in Brazil

Abstract

This paper aims to investigate the main determinants of interstate migration flows in Brazil. A gravity model was used controlling multilateral resistance to migration based on The National Household Sample Survey (PNAD) dataset from 2004 to 2009. The method applied is adequate to identify the gravity equation, handle zero migration flows and heteroskedasticity/non-normal data robust, controlling for unobservables in terms of multilateral attractiveness. The results suggest regional inequalities in expected wage by occupation, population size, short distances and social networks are important determinants of migrations streams. These correlations survive even after we consider estimates based on age and education groups.