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Social and Behavioral Sciences Commons

Open Access. Powered by Scholars. Published by Universities.®

Economics

W.E. Upjohn Institute for Employment Research

Upjohn Institute Working Papers

2021

Border discontinuities

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Isolated States Of America: The Impact Of State Borders On Mobility And Regional Labor Market Adjustments, Riley Wilson Dec 2021

Isolated States Of America: The Impact Of State Borders On Mobility And Regional Labor Market Adjustments, Riley Wilson

Upjohn Institute Working Papers

I document a new empirical pattern of internal mobility in the United States. Namely, county-to-county migration and commuting drop off discretely at state borders. People are three times as likely to move to a county 15 miles away, but in the same state, than to move to an equally distant county in a different state. These gaps remain even among neighboring counties or counties in the same commuting zone. This pattern is not explained by differences in county characteristics, is not driven by any particular demographic group, and is not explained by pecuniary costs such as differences in state occupational …