Data and Code for: "Immigration and Spatial Equilibrium: the Role of Expenditures in the Country of Origin"

Abstract: We document that international migrants concentrate more in expensive cities -- the more so, the lower the prices in their origin countries are -- and consume less locally than comparable natives. We rationalize this empirical evidence by introducing a quantitative spatial equilibrium model, in which a part of immigrants' income goes towards consumption in their origin countries. Using counterfactual simulations, we show that, due to this novel consumption channel, immigrants move economic activity toward expensive, high-productivity locations. This leads to a more efficient spatial allocation of labor and, as a result, increases the aggregate output and welfare of natives.<br>To generate output for this paper, use the README and data in this depository.<br>