We investigate the consequences of redistribution policy on migration and trade in a Standard two-good Heckscher-Ohlin framework. With free trade and factor price equalization, abolishing migration barriers is redundant. With the introduction of government activity, matters change drastically....

Recent theoretical works suggest that migrants carry their social networks when moving across borders and that they bridge the information gap between partner countries. We derive a theoretical model where migrants reduce informational trade barriers and thus enhance exports. The model is...

We develop a model to explain two-way migration of high-skilled individuals between countries that are similar in their economic characteristics. High-skilled migration is explained by a combination of two features: In both countries there is a continuum of workers with differing abilities,...