International Migration & Economic Development: The Case of EU Countries

Abstract

The globalization of the modern world strengthens the role of migration flows in the socio-economic development of countries and regions. The European Union, and Italy in particular, are among the main centers attracting migrants due to their geopolitical transit position and relatively favorable environment. The consequences of the explosive growth in migration flows are ambiguous. To clarify the direction and power of such effects, we perform correlation and regression analysis according to a number of parameters. The paper presents relevant data on the demographic and socio-economic situation in Italy for 2001–2017. In the literature review section, we examine the substance of international migration and identify the factors affecting the trends in economic dynamics as well as changes in migration flows. The research results confirm that the most significant determinants are employment, the GDP growth rate and the labor cost index. The study also finds that there is a positive correlation between GDP growth and inflow of remittances. The empirical data provided indicate the coherence between migration and particular macroeconomic indicators. A comprehensive analysis of the factors presents a promising pathway for improving migration policy.