Graduates are flocking to the Northern Territory to get a few years experience and a leg-up in their industries.
Ever wanted to move to another part of the country? You could be either financially or emotionally better off if you take the plunge, according to two new reports released by the Motu Economic and Public Policy Research institute in New Zealand.
Wages, Wellbeing and Location: Slaving Away in Sydney or Cruising on the Gold Coast took a sample of 2474 individuals aged between 25-60, tracking them up to four years before and after their move.
The study focused on internal migration within Australia, which was defined as a residential move of 25 kilometres or more within the country.
Ever wanted to move to another part of the country? You could be either financially or emotionally better off. Photo: Stocksy
The published articles measured weekly wages and monitored subjective wellbeing (SWB) by asking participants to rate their life satisfaction from zero to 10.
“We looked at the reasons why people leave and relocate,” explains senior Motu fellow Arthur Grimes.
“Market factors, such as low wages and unemployment, may motivate people to leave, but we found they were choosing places based on subjective wellbeing.
The report showed a sharp increase in wellbeing the year of moving. Photo: istock
“When people moved to these places, they experienced a lift in life satisfaction, and how much depends partly on the reason for the move, and we found quite a lot of difference in terms of motivation.
“There seems to be a trade-off – people who moved for work-related reasons received increased wages but didn’t experience as big of an increase in subjective wellbeing compared those who moved for other reasons, including to be closer to friends and family.
“However, those who moved for non-work-related reasons tended to have more of a wage cut.”
Women experience a significant lift in wellbeing after relocating. Photo: Stocksy
The report also stated that “there is a downward trend in wellbeing in the lead-up to migration, followed by a sharp increase in the year of moving that is sustained thereafter”.
“There are several potential explanations for such a finding: migration could be triggered by a fall in wellbeing associated with some unobserved events; the anticipation of an improved situation could alter one’s satisfaction with what the individual has now; or the lead-up to migration may be stressful, resulting in a decrease in wellbeing.”
The second corresponding paper, Migration and Gender: Who Gains and in Which Ways?, used the same sample and assessed the differences experienced by both men and women who were either single or moved as a couple.
The study shows that there is a benefit financially for men but not necessarily in wellbeing. Photo: Joselito M Briones
The report found that just 30 per cent of participants relocated for a work-related reason. Single men were more likely to move for work (40 per cent), while only 25 per cent of single women moved for that reason.
“[Data shows] that when only one partner in a couple moves for a work reason, that partner is more often male than female. However, among couples overall, it is more common for both partners to report that they moved for a work-related reason, and even more common for neither partner to report moving for a work-related reason.”
“In particular, we find that for singles, though wages increase significantly only for men after moving, wellbeing increases for both men and women. These wellbeing gains are enjoyed for several years after moving.
“Moreover, despite the finding that migration has more favourable outcomes for the earnings of male spouses than female spouses, we observe the opposite pattern for wellbeing. SWB increases significantly for female spouses and remains higher for a number of years.
“For males, the predicted change in wellbeing is small and not statistically significant.”
Although the report doesn’t explain exactly why females experience a significant lift, the results show a clear difference in how the genders benefit, as the paper itself summarises through a haiku:
When people migrate
women become happier
men become richer.
– stuff.co.nz