The growing distance between the place where people work and the place where people Uve has given rise to interregional commutation flows whose impact on local economies has still received scant attention. This article analysis the importance ofthis phenomenon in Chile and its impact on the welfare of Antofagasta, a Chilean región which attracts a big amount ofworkers living in other regions ofthe country. The results of an extended input output model, show that the indirect effects ofthis type of commutation on regional demand have negative and significant consequences on income and employment creationfor regions that are only attractive as a working place. These results emphasize the relevance of local development strategies oriented towards the creation of attractive places for living.