Self selection and spatial mobility of Palestinian male workers in the West Bank and Gaza Strip

The number of Palestinians working in Israel and residing in the West Bank and Gaza Strip has been on the increase since June, 1967. More than 100,000 workers commute to work in Israel on a daily basis. In this dissertation, the determinants of commuting migration are evaluated using empirical analysis. Specifically, a self-selection model has been employed to: (1) estimate the parameters of two earnings equations for commuters and non-commuters, so as to identify and compare the determinants of labor earnings in the Occupied Territories and Israel; (2) estimate the parameters of the decision to commute; and, (3) apply the knowledge acquired about the factors underlying Palestinian labor mobility to the analysis of policy on labor mobility flows. The results of the research suggest: First, that there is a negative selectivity for commuting migrants, which implies that negative selection may exist when adverse and compelling circumstances prevail in the region of origin. Second, economic factors are highly significant in driving Palestinians towards the Israeli labor market. Wage differentials and the expected wages at both region of origin and destination are highly significant, and are supportive of Sjaastad\u27s and Harris-Todaro\u27s type of models. Third, push factors in the Occupied Territories are stronger than pull factors in Israel in determining the decision to commute. Fourth, the determinants of commuting migration are comparable with those affecting migration