Migration and location specific human capital: Two essays

Type Thesis

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This dissertation discusses the concept of Location Specific Consumption Capital in the case of location choice of ethnic groups and the case of migration among older men. In the case of location choice of ethnic groups, it hypothesizes that the consumption capital of ethnic groups has ethnic based characteristics. Ethnic people with such capital will have significant returns to their past consumption capital investment if they live in an environment where there are more ethnic based institutions. It explains the lower earnings of ethnic workers living in regions with a higher spatial concentration of the same ethnic population. Using the concentration index to measure the "ethnic goods effect" and the data from 1980 U.S. Census of Population, the empirical results show that the hypothesis is consistent with the Chinese and the muslim samples. In the case of migration among old man, using data from the 1980 Census and Multinomial logit techniques, it demonstrates that, controlling for the demographic and family variables, the location specific consumption characteristics such as climates and state of birth do affect migration decisions and distance of older men.