How Important Are Cultural Frictions for Internal Migration? Evidence from the Nineteenth Century United States

We propose a new measure of cultural distance based on differences in the composition of first names and church denominations between locations. We use a gravity equation to estimate the elasticity of migration flows with respect to the two components of cultural distance as well as a standard measure of travel costs via the transportation network in the United States between 1850 and 1870. Our findings indicate a modest role for cultural distance relative to travel costs in explaining migration flows. We construct migration costs that reflect the distinct contributions of cultural distance and travel costs, and use an economic geography model of migration to quantify their effects. Travel costs are substantially more important than cultural distance for aggregate welfare. Nevertheless, we provide evidence that the components of cultural distance play a role in shaping of how many people move and their final destinations.