Regional Labor Markets, Network Externalities and Migration: The Case of German Reunification
Fifteen years after German reunification, the facts about slow regional convergence have born out the prediction of Barro (1991), except that migration out of East Germany has not slowed down, the author states. This paper documents that in particular the 18-29 year-olds are leaving East Germany and that the emigration has accelerated in recent years.
Link
http://sfb649.wiwi.hu-berlin.de/papers/pdf/SFB649DP2006-004.pdf