Determinants of labour force migration: Evidence from the Western Balkans
Determinants of labour force migration: Evidence from the Western Balkan

Summary/Abstract: This paper empirically analyses the determining factors of the growth in the migration ratein the countries of the Western Balkans. The analysis is carried out with panel data over 17 yearsfrom 2005 to 2021. The purpose of this paper is to analyse social variables such as unemploymentand standard of living, and political variables such as corruption, political stability, governmenteffectiveness, rule of law and the level of corruption in the migration of citizens. For this purpose,we employ different econometric models and techniques such as OLS, OLS robust fixed andrandom effects models, and GMM (generalized method of moments). The study’s findingsdemonstrate that high levels of unemployment in the Western Balkan region are the primarycause of the surge in migration; thus, large levels of labour force migration are also presentin these countries. The findings also show that variables related to the political situation havestatistical significance in reducing migration. The paper does not find a statistically significantinfluence of the level of corruption on migration. The recommendations for the countriesof the Western Balkan region are to create long-term sustainable employment policies andincrease wages as preventive measures for migration.

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