Better off in the city? Economic outcomes of rural out‐migration in Sweden—sibling study of cohorts 1960–1984

Abstract

AbstractThis study examines disparities in income levels and employment status between individuals who migrate from rural areas and their siblings who remained in rural settings in Sweden for cohorts born 1960–1984. Utilizing comprehensive Swedish register data, we track the economic outcomes at age 35 or rural residents who migrated between ages 15 and 25, comparing them to non‐migrating siblings. Our analysis, employing binomial logit and log‐linear models for employment odds and income levels, respectively, reveals that while rural out‐migration generally leads to higher income, it does not significantly impact employment status. The study underscores the role of individual and family‐specific factors—such as gender and education—and broader time‐ and place‐dependent structures in mediating migration's effects. We find that income disparity between migrants and non‐migrants has increased since the 1990s and that the differences increase with the urbanization level of the destination.