nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2010‒01‒23
ten papers chosen by
Yuji Tamura
Australian National University

  1. Impact of Importing Foreign Talent on Performance Levels of Local Co-Workers By J. Alvarez; D. Forrest; I. Sanz; JD. Tena
  2. Cultural Integration in Germany By Constant, Amelie F.; Nottmeyer, Olga; Zimmermann, Klaus F.
  3. Land Rights Insecurity and Temporary Migration in Rural China By de la Rupelle, Maëlys; Quheng, Deng; Li, Shi; Vendryes, Thomas
  4. Intergenerational Mobility of Immigrants in Germany: Moving with Natives or Stuck in their Neighborhoods? By Yuksel, Mutlu
  5. Immigration, Income and Productivity of Host Countries: a Channel Accounting Approach By Mariya Aleksynska; Ahmed Tritah
  6. Latin American Immigration in the United States: Is There Wage Assimilation Across the Wage Distribution? By Catalina Franco Buitrago
  7. Remittances, Capital Flows and Financial Development during the Mass Migration Period, 1870-1913 By Rui Esteves; David Khoudour-Casteras
  8. Are Turkish migrants altruistic? Evidence from the macro data By Sule Akkoyunlu
  9. Ethnic Networks, Information, and International Trade: Revisiting the Evidence By Gabriel J. Felbermayr; Benjamin Jung; Farid Toubal
  10. A Note on Informality in the Labor Market By Khamis, Melanie

  1. By: J. Alvarez; D. Forrest; I. Sanz; JD. Tena
    Abstract: When skilled labour is imported, skill levels of local workers may be raised by contact with new techniques and practices. European basketball offers an opportunity to test this general claim. For a panel of 47 countries observed over more than twenty years, we model probability of qualification for, and performance in, international tournaments. We demonstrate that an increase in the number of foreigners in a domestic league tends to generate an improvement in the performance of the national team (which comprises only local players). Given this, we develop a theoretical framework for how a regulator might take this into account.
    Keywords: Basketball; migration; spillovers.
    JEL: J6 J7
    Date: 2009
  2. By: Constant, Amelie F. (DIW DC, George Washington University); Nottmeyer, Olga (DIW Berlin); Zimmermann, Klaus F. (IZA, DIW Berlin and Bonn University)
    Abstract: This chapter investigates the integration processes of immigrants in Germany by comparing certain immigrant groups to natives differentiating by gender and immigrant generation. Indicators which are supposed to capture cultural integration of immigrants are differences in marital behavior as well as language abilities, ethnic identification and religious distribution. A special feature of the available data is information about overall life satisfaction, risk aversion and political interest. These indicators are also presented. All of these indicators are depicted in comparison between natives and immigrants differentiated by ethnic origin, gender and generation. This allows visualization of differences by ethnic groups and development over time. Statements about the cultural integration processes of immigrants are thus possible. Furthermore, economic integration in terms of female labor force participation is presented as an additional feature. Empirical findings suggest that differences among immigrants and between immigrants and Germans do exist and differ significantly by ethnic origin, gender and generation. But differences seem to diminish when we consider the second generations. This indicates greater adaptation to German norms and habits, and thus better cultural, socio-economic and political integration of second generation immigrants in Germany.
    Keywords: cultural integration, immigrants, Germany, ethnic origin, gender, generation
    JEL: F22 J15 J61 Z13
    Date: 2009–12
  3. By: de la Rupelle, Maëlys (Paris School of Economics); Quheng, Deng (Chinese Academy of Social Sciences); Li, Shi (Beijing Normal University); Vendryes, Thomas (Paris School of Economics)
    Abstract: Like most other developing countries, China experiences huge migration outflows from rural areas. Their most striking characteristic is a high geographical and temporal mobility. Rural migrants keep going back and forth between origin villages and destination areas. In this paper, we show that this temporary feature of migration can be linked to land rights insecurity. As village land ownership remains collective and as land use rights can be periodically reallocated, individual out-migration can result in deprivation of those rights. Moreover, the intensity of this insecurity varies according to the village-level management of land and the contractual status of land plots. We use these variations to identify the effect of land rights insecurity on migration behavior. Empirical results based on representative 2002 rural data demonstrate substantial impact.
    Keywords: migration, land rights insecurity, China, semiparametric censored regression models
    JEL: C34 J61 P32 Q15
    Date: 2009–12
  4. By: Yuksel, Mutlu (IZA)
    Abstract: In this paper, I analyze intergenerational mobility of immigrants and natives in Germany. Using the German Socioeconomic Panel (GSOEP), I find intergenerational elasticities that range from 0.19 to 0.26 for natives and from 0.37 to 0.40 for immigrants. These elasticity estimates are lower than typically found for the U.S. and imply higher mobility in Germany than in the U.S. However, as in the U.S., I find greater mobility among German natives than among immigrants. Moreover, I investigate to what extent the lower mobility among immigrants in Germany is due to “ethnic capital” as suggested by Borjas (1992). I find that the impact of father’s earnings on son’s earnings remains virtually unchanged when including a measure of ethnic capital, suggesting that the higher father-son correlation found among immigrants is not due to omitting ethnic capital. However, I do find a large independent effect of ethnic capital on sons’ earnings (the coefficient is 0.81 as opposed to 0.25 found by Borjas (1992)). These results are consistent with estimates from Microcensus data, where the combined effect of parents’ and ethnic capital is close to unity. Thus, contrary to the U.S. results which suggest convergence of immigrants’ earnings towards natives’ earnings, the German results suggest divergence of immigrant earnings.
    Keywords: immigration, intergenerational mobility, natives, ethnic capital
    JEL: J61 J62
    Date: 2009–12
  5. By: Mariya Aleksynska; Ahmed Tritah
    Abstract: This paper investigates the contribution of immigration to income and productivity of host countries. Using a dataset constructed from census data and labor force surveys for 20 OECD countries in the period from 1960 to 2005, we explore the information on age and educational attainment of immigrants to assess the contribution of immigration to income components: changes in physical capital, human capital, employment, and total factor productivity. We combine level accounting approach with panel income regressions, and also account for the endogeneity of migration choices to productivity shocks. Our main findings are that, overall, higher shares of immigrants over natives have a positive effect on income and productivity of their host countries. Under the assumption that older immigrants are also the ones with the longest duration of stay, this effect is due to the long run changes in TFP, and is robust to educational disparities between immigrants and natives. The decomposition by age and education suggests that only unskilled immigrants have a non-neutral impact on income and productivity, which is negative in the short run but positive, and larger in magnitude, in the long run. We also find a dispersed impact of the presence of other immigrant groups on some income channels.
    Keywords: International migration; productivity; income; employment; instrumental variable; channel accounting
    JEL: F22 J24 J31 O31
    Date: 2009–10
  6. By: Catalina Franco Buitrago
    Abstract: Immigration has been one of the main driving forces that have contributed to shape the United States as it is today. The current wave of immigration started in 1965 and has different characteristics to the previous inflows of immigrants1. In particular, the 1965 Immigration Act had an impact in shifting the national origin of U.S. immigrants mostly to Latin Americans and Asians, widening therefore the gap between natives and immigrants in terms of language and culture (Card, 2005). Since immigration from Latin America has constituted between 40 and 50 percent of total immigration in the current wave, and given that Latin Americans are relatively less skilled than U.S. natives and other immigrants, it is worth studying the wage differentials that potentially exist between natives and Latin American immigrants.
    Date: 2010–01–18
  7. By: Rui Esteves; David Khoudour-Casteras
    Abstract: This paper addresses the question whether the substantial financial flows received by emigration countries in the four decades running up to World War I contributed to domestic financial development in peripheral Europe. We quantify a sizable and significant relation between remittances and measures of development of the financial sector that is both larger than the contribution of other international capital flows and than the best estimates of the same relation in our days. Given that financial development is regularly included among the conditions for economic growth and catch up of developing nations, this paper adds to our understanding of the multiple impacts of the mass migration phenomenon on the economies of emigration countries.
    Keywords: International migration; remittances; financial development
    JEL: F24 N13 O16
    Date: 2009–06
  8. By: Sule Akkoyunlu (KOF Swiss Economic Institute, ETH Zurich, Switzerland)
    Abstract: We investigate in this paper whether the stable pattern of remittances over the last three decades can be explained by the altruistic behaviour. This possibility is tested by means of cointegration analysis, which is applied to Turkish remittances from Germany over the period 1962-2005. A single cointegrating relationship is found between the remittances of Turkish workers in Germany and the real Turkish GDP per capita, the real German GDP per capita, the stock of Turkish migrants in Germany, the real exchange rate, and the government instability. The negative coefficient associated with Turkish income and positive coefficients on the real exchange rate and political instability support the claim that Turkish remittances from Germany are altruistically motivated. In addition, we find that the coefficient on the stock of Turkish migrants to be equal to one.
    Keywords: Migration, Remittances, Alturism, Cointegration
    JEL: C22 F22 F24
    Date: 2010–01
  9. By: Gabriel J. Felbermayr; Benjamin Jung; Farid Toubal
    Abstract: Influential empirical work by Rauch and Trindade (REStat, 2002) finds that Chinese ethnic networks of the magnitude observed in Southeast Asia increase bilateral trade by at least 60%. We argue that this estimate is upward biased due to omitted variable bias. Moreover, it is partly related to a preference effect rather than to enforcement and/or the availability of information. Applying a theory-based gravity model to ethnicity data for 1980 and 1990, and focusing on pure network effects, we find that the Chinese network leads to a more modest amount of trade creation of about 15%. Using new data on bilateral stocks of migrants from the World Bank for the year of 2000, we extend the analysis to all potential ethnic networks. We find, i.a., evidence for a Polish, a Turkish, a Mexican, or a Pakistani network. While confirming the existence of a Chinese network, its trade creating potential is dwarfed by other ethnic networks. The large heterogeneity in the trade-creating potential of different networks is, among other things, explained by the share of high-skilled immigrants, the degree of ethnic fragmentation, and GDP per capita.
    Keywords: Gravity model; international trade; network effects; international migration
    JEL: F12 F22
    Date: 2009–12
  10. By: Khamis, Melanie (IZA)
    Abstract: This paper provides a detailed analysis of various dimensions of informality in the Mexican labor market. To understand the nature of informality in terms of regulations and compliance, the legalistic view, and in terms of productivity view of the labor market this paper makes an empirical contribution to the debate in the literature on the concept of informality. Questions related to these various concepts, social security and benefits coverage, contractual information, legal status of migrants, the nature of self-employment and job history information are analyzed in terms of their relationship to each other and are also related to individual and household characteristics. This paper finds a substantial overlap between the various concepts, current legal arrangements of social security coverage or contract and also in the individual's job history. In terms of individual characteristics age, education, martial status and scores in the Raven's test, an ability measure, are significant determinants for the various forms of informality, with some degree of variation across the different categories. Overall, a case is made for further studies of household survey data and the implementation of questions relating to different dimensions of informality and their inter-linkages.
    Keywords: informality, social security, contracts, illegal migration, self-employment, job history, Mexico
    JEL: J40 O17
    Date: 2009–12

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