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Discussion Paper Details

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Title: Informational Cascades and Decision to Migrate

Author(s): Gil S Epstein

Publication Date: March 2002

Keyword(s): herd behaviour, informational cascades, Migration, network-externalities and xenophobia

Programme Area(s): Labour Economics

Abstract: We introduce the idea that informational cascades can explain the observed regularity that emigrants from the same locations also tend to choose the same foreign locations. Thus informational cascades generates herd behaviour. Herd behaviour is compared with the network externalities explanation of the same phenomenon. The relation between social tensions and herd behaviour is observed when local populations are xenophobic.

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Bibliographic Reference

Epstein, G. 2002. 'Informational Cascades and Decision to Migrate'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=3287