Determinants of Net Interstate Migration, 2000-2004

Abstract

The present study investigates the impact on net state in-migration over the 2000-2004 period of a variety of economic and non-economic factors. The empirical estimates indicate that the net state in-migration rate was an increasing function of median family income and the previous-period employment growth rate on the one hand and a decreasing function of the cost of living. In addition, net state in-migration was an increasing function of the warmer temperatures, while being a decreasing function of the presence of hazardous waste sites and pollution in the form of toxic chemical releases. Finally, net state in-migration was an increasing function of state plus local government spending per pupil on primary and secondary education and a decreasing function of the state individual income tax burden.