nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2013‒11‒29
twenty-six papers chosen by
Yuji Tamura
La Trobe University

  1. Do High-Income or Low-Income Immigrants Leave Faster? By Bijwaard, Govert; Wahba, Jackline
  2. Heaven's Swing Door: Endogenous Skills, Migration Networks and the Effectiveness of Quality-Selective Immigration Policies By Bertoli, Simone; Rapoport, Hillel
  3. Migration, Risk Attitudes, and Entrepreneurship: Evidence from a Representative Immigrant Survey By Catia Batista; Janis Umblijs
  4. Eliciting illegal migration rates through list randomization By McKenzie, David; Siegel, Melissa
  5. How Do Immigrants from Taiwan Fare in the U.S. Labor Market? By Lin, Carl
  6. Mobility of Students and Quality of Higher Education: An Empirical Analysis of the “Unified Brain Drain” Model By Elise S. Brezis; Ariel Soueri
  7. The impact of migration on children left behind in Moldova By Gassmann, Franziska; Siegel, Melissa; Vanore, Michaella; Waidler, Jennifer
  8. Guest Workers in the Underground Economy By Slobodan Djajic; Alice Mesnard
  9. Skilled Immigration and the Employment Structures of U.S. Firms By Sari Pekkala Kerr; William R. Kerr; William F. Lincoln
  10. The links between economic integration and remittances behaviour of migrants in the Netherlands By Bilgili, Özge
  11. Migration Plans and Strategies of Recent Polish Migrants to England and Wales: Do They Have Any and How Do They Change? By Stephen Drinkwater; Michał Garapich
  12. Does Higher Education Enhance Migration? By Haapanen, Mika; Böckerman, Petri
  13. The influence of vulnerability on migration intentions in Afghanistan By Loschmann, Craig; Siegel, Melissa
  14. Migration Determinants at a Local Level By Arauzo Carod, Josep Maria; Liviano Solís, Daniel
  15. "To Have and Have Not": Migration, Remittances, Poverty and Inequality in Algeria By Margolis, David N.; Miotti, Luis; Mouhoud, El Mouhoub; Oudinet, Joël
  16. Unfree Labour: Did Indenture Reduce Labour Supply to Tea Plantations in Assam? By Gupta, Bishnupriya; Swamy, Anand
  17. Employing skilled expatriates : benchmarking skilled immigration regimes across economies By De Smet, Dieter
  18. The impact of low-skilled immigration on female labour supply By Forlani, Emanuele; Lodigiani, Elisabetta; Mendolicchio, Concetta
  19. Analyzing the impact of labor market integration By Keisuke Kawata; Kentaro Nakajima; Yasuhiro Sato
  20. The Return of the Prodigy Son: Do Return Migrants make Better Leaders? By Marion Mercier
  21. The dynamic implications of liberalizing global migration By Marco DELOGU; Frédéric DOCQUIER; Joël MACHADO
  22. Spillover effects of studying with immigrant students; a quantile regression approach By Asako Ohinata; Jan C. van Ours
  23. Why Immigrant Background Matters for University Participation: A Comparison of Switzerland and Canada By Hou, Feng; Picot, Garnett
  24. Value adaptation to a new social environment: Impacts from country of birth and country of residence on values of intra-European migrants By Maksim Rudnev
  25. The Effect of Immigration on Public Finances By Ian Preston
  26. Brain Drain and Economic Performance in Small Island Developing States By David de la CROIX; Frédéric DOCQUIER; Maurice SCHIFF

  1. By: Bijwaard, Govert (NIDI - Netherlands Interdisciplinary Demographic Institute); Wahba, Jackline (University of Southampton)
    Abstract: We estimate the impact of the income earned in the host country on return migration of labor migrants from developing countries. We use a three-state correlated competing risks model to account for the strong dependence of labor market status and the income earned. Our analysis is based on administrative panel data of recent labor immigrants from developing countries to the Netherlands. The empirical results show that intensities of return migration are U-shaped with respect to migrants' income, implying a higher intensity in low- and high- income groups. Indeed, the lowest-income group has the highest probability of return. We also find that ignoring the interdependence of labor market status and the income earned leads to an overestimating the income effect on departure.
    Keywords: migration dynamics, labour market transitions, competing risks, immigrant assimilation
    JEL: F22 J61 C41
    Date: 2013–11
  2. By: Bertoli, Simone (CERDI, University of Auvergne); Rapoport, Hillel (Bar-Ilan University)
    Abstract: A growing number of OECD countries are leaning toward adopting quality-selective immigration policies. The underlying assumption behind such policies is that more skill-selection should raise immigrants' average quality (or education level). This view tends to neglect two important dynamic effects: the role of migration networks, which could reduce immigrants' quality, and the responsiveness of education decisions to the prospects of migration. Our model shows that migration networks and immigrants' quality can be positively associated under a set of sufficient conditions regarding the degree of selectivity of immigration policies, the initial pattern of migrants' self-selection on education, and the way time-equivalent migration costs by education level relate to networks. The results imply that the relationship between networks and immigrants' quality should vary with the degree of selectivity of immigration policies at destination. Empirical evidence presented as background motivation for this paper suggests that this is indeed the case.
    Keywords: migration, self-selection, brain drain, immigration policy, discrete choice models
    JEL: F22 O15 J61
    Date: 2013–11
  3. By: Catia Batista (Universidade Nova de Lisboa); Janis Umblijs (Ragnar Frisch Centre for Economic Research)
    Abstract: Do more risk loving migrants opt for self-employment? This is a question especially relevant for policy makers designing selective immigration policies in countries of destination. In order to provide a rigorous answer to it, we use a novel vignette-adjusted measure of risk preferences in the domain of work to investigate the link between risk aversion and entrepreneurship in migrant communities. Using a representative household survey of the migrant population in the Greater Dublin Area, we find a significant negative relationship between risk aversion and entrepreneurship. In addition, our results show that the use of vignettes improves the significance of the results, as they correct for differential item functioning (where respondents interpret the self-evaluation scale in different ways) between entrepreneurs and non-entrepreneurs, and corrects for variation in the use of self-evaluation scales between migrants from different countries of origin.
    Keywords: Migration, Risk Aversion, Entrepreneurship
    JEL: F22 J01 J15 J61 L26
    Date: 2013–11
  4. By: McKenzie, David (World Bank, CEPR, and IZA); Siegel, Melissa (UNU-MERIT/MGSoG, Maastricht University)
    Abstract: Most migration surveys do not ask about the legal status of migrants due to concerns about the sensitivity of this question. List randomization is a technique that has been used in a number of other social science applications to elicit sensitive information. We trial this technique by adding it to surveys conducted in Ethiopia, Mexico, Morocco and the Philippines. We show how, in principle, this can be used to both give an estimate of the overall rate of illegal migration in the population being surveyed, as well as to determine illegal migration rates for subgroups such as more or less educated households. Our results suggest that there is some indication in this method: we find higher rates of illegal migration in countries where illegal migration is thought to be more prevalent and households who say they have a migrant are more likely to report having an illegal migrant. Nevertheless, some of our other findings also suggest some possible inconsistencies or noise in the conclusions obtained using this method, so we suggest directions for future attempts to implement this approach in migration surveys.
    Keywords: migration, illegal migration, research methods, list randomization, item count method, survey techniques, surveys
    JEL: F22 C83 J61 K42
    Date: 2013
  5. By: Lin, Carl (Beijing Normal University)
    Abstract: This paper presents evidence that since 1980, relative to other immigrants, the earnings of Taiwanese immigrants have grown rapidly as they assimilate into the U.S. economy. Our estimates indicate that the rising returns to education, pre-migration experience and hours worked per week play pivotal roles for their relatively successful economic assimilation. We investigate the earnings differentials, finding that the growing gap can be largely explained by differences in individual's endowments – of which more than two-thirds can be solely attributed to education. We show that more recently arrival cohorts of Taiwanese immigrants have earned more than the older ones since 1980.
    Keywords: Taiwan, immigration, economic assimilation, earnings differential, Oaxaca-Blinder decomposition
    JEL: J31 J61
    Date: 2013–11
  6. By: Elise S. Brezis (Bar-Ilan University); Ariel Soueri
    Abstract: Globalization has led to a vast flow of migration of workers but also of students. The purpose of this paper is to analyze the migration of individuals encompassing decisions already at the level of education. We present a “unified brain” drain model that incorporates the decisions of an individual related to migration vis‐à‐vis both education and work. In the empirical part, this paper addresses international flows of migration within the Bologna Process and presents strong evidence of concentration of students in countries with high‐quality education.
    Keywords: Brain drain; Globalization, Higher education; Human capital; Migration, Mobility, Bologna process
    JEL: F22 I23 J24
    Date: 2013–11
  7. By: Gassmann, Franziska (UNU-MERIT/MGSoG); Siegel, Melissa (UNU-MERIT/MGSoG); Vanore, Michaella (UNU-MERIT/MGSoG); Waidler, Jennifer (UNU-MERIT/MGSoG)
    Abstract: This paper empirically evaluates the well-being of children "left behind" by migrant household members in Moldova. Using data derived from a nationally-representative, large-scale household survey conducted between September 2011 and February 2012 among 3,255 households (1,801 of which contained children aged 0-17) across Moldova, different dimensions of child well-being are empirically evaluated. Well-being of children in Moldova is divided into eight different dimensions, each of which is comprised of several indicators. Each indicator is examined individually and then aggregated into an index. Well-being outcomes are then compared by age group, primary caregiver, migration status of the household (current migrant, return migrant, or no migration experience), and by who has migrated within the household. It was found that migration in and of itself is not associated with negative outcomes on children's well-being in any of the dimensions analysed, nor does it matter who in the household has migrated. Children living in return migrant households, however, attain higher rates of well-being in specific dimensions like emotional health and material well-being. The age of the child and the material living standards experienced by the household are much stronger predictors of well-being than household migration status in a number of different dimensions. The results suggest that migration does not play a significant role in shaping child well-being outcomes, contrary to the scenarios described in much past research. This paper is the first (to the authors' knowledge) to link migration and multidimensional child poverty.
    Keywords: Moldova, migration, poverty, child poverty, multi-dimensional poverty
    JEL: I32 F22 J61 O15
    Date: 2013
  8. By: Slobodan Djajic (The Graduate Institute); Alice Mesnard (City University)
    Abstract: Guest-worker programs have been providing rapidly growing economies with millions of temporary foreign workers over the last couple of decades. With the duration of stay strictly limited by program rules in most of the host countries and wages paid to guest workers often set at sub-market levels, many of the migrants choose to overstay and seek employment in the underground economy. This paper develops a general-equilibrium model that relates the flow of guest workers transiting to the underground economy to the rules of the program, enforcement measures of the host country and market conditions facing migrants at home and abroad.
    Keywords: Temporary migration, undocumented workers, underground economy
    JEL: F22
    Date: 2013–11
  9. By: Sari Pekkala Kerr; William R. Kerr; William F. Lincoln
    Abstract: We study the impact of skilled immigrants on the employment structures of U.S. firms using matched employer-employee data. Unlike most previous work, we use the firm as the lens of analysis to account for a greater level of heterogeneity and the fact that many skilled immigrant admissions are driven by firms themselves (e.g., the H-1B visa). OLS and IV specifications find rising overall employment of skilled workers with increased skilled immigrant employment by firm. Employment expansion is greater for younger natives than their older counterparts, and departure rates for older workers appear higher for those in STEM occupations compared to younger worker.
    JEL: F15 F22 J44 J61 O31 O32
    Date: 2013–11
  10. By: Bilgili, Özge (UNU-MERIT / MGSoG)
    Abstract: In a time of economic downturn and the recession in Europe, a migrant's labour market position is even more precarious, and may influence their economic homeland engagement. Based on the IS Academy, Migration and Development: A World in Motion Project survey data , I focus on Afghan, Burundian, Ethiopian and Moroccan first generation migrants in the Netherlands, and explore how their economic integration is related to different aspects of their economic remittances behaviour. The main objectives of this paper can be summarized as follows: 1) to describe migrants' labour market performance; 2) to designate migrants' economic remittances behaviour with a focus on propensity to remit, amount of remittances and reason for remitting; and 3) to discuss how labour market performance relates to migrants' economic homeland engagement. In line with the resource dependent transnationalism argument, this paper concludes that economic integration is positively linked to propensity to remit and the amount of remittances sent. Moreover, I show that especially those with a secure employment status are more likely to remit, remit more and remit more for investment purposes rather than consumption. The paper starts out with a literature review on economic transnationalism and a description of the hypotheses. Next, the data and methods used are explained in detail. Subsequently, the descriptive and analytical results of the paper are presented, followed by a concluding section.
    Keywords: migrants in the Netherlands, economic remittances, economic integration, transnationalism
    JEL: F22 J15 J61 O15
    Date: 2013
  11. By: Stephen Drinkwater (WISERD, CMPR and Department of Economics, Swansea University); Michał Garapich (CRONEM, University of Roehampton)
    Abstract: Debates have persisted about the character of the large East-West population flows that followed the accession of Poland and other Central and Eastern European states to the EU in 2004. Some of the key discussions surround the extent to which the mobility has been temporal and hence how likely these migrants are to settle permanently or to stay for long periods in host countries. This paper further enhances the understanding of such issues mainly through examining survey data on 700 Polish nationals in seven English and Welsh towns and cities, and supplemented by an analysis of qualitative information obtained from the respondents. Three categories of migrants are initially identified on the basis of their intentions of stay in the UK. Multinomial logit models are then estimated to examine the characteristics of individuals in each category to establish the factors that influence migration strategies and changes in plans. The results indicate that although standard socio-economic characteristics tend to be insignificant, migration strategies and changes in intentions are affected by the migrant’s view of whether their job matches their expectations, the time of entry into the UK and remittances. Analysis of the qualitative information provides a complementary perspective and re-inforces some of the key findings in relation to the factors determining changes in the anticipated length of stay.
    Date: 2013–11
  12. By: Haapanen, Mika (Jyväskylä University School of Business and Economics); Böckerman, Petri (Labour Institute for Economic Research)
    Abstract: This paper examines the causal impact of education on within-country migration. A major higher education reform took place in Finland in the 1990s. It gradually transformed former vocational colleges into polytechnics and expanded higher education to all regions. The reform created exogenous variation in the regional supply of higher education. Using the reform as an instrument, our estimation results show that polytechnic graduates have a 7.5 (13.7) percentage points higher migration probability during a three-year (six-year) follow-up period than vocational college graduates.
    Keywords: migration, higher education, vocational education, polytechnic education, school reform
    JEL: J10 J61 I20 R23
    Date: 2013–11
  13. By: Loschmann, Craig (UNU-MERIT / MGSoG); Siegel, Melissa (UNU-MERIT / MGSoG)
    Abstract: This study explores the influence of vulnerability on migration intentions within the context of Afghanistan. While it is commonplace to conceptualize migration as being driven by certain economic-related factors, it is reasonable to assume that in an insecure setting like Afghanistan the difference between voluntary and involuntary movement is not easily distinguishable, making it necessary to approach the subject through a spectrum which does not presuppose migration is strictly economic in nature. With this in mind, we consider the issue through the broader lens of household vulnerability, a measure which incorporates a range of socio-economic factors allowing for a more comprehensive analysis. We first construct a profile of household vulnerability through individual indicators of deprivation along four principle dimensions, and then perform a regression analysis estimating the influence on migration intentions. Our results provide clear evidence that vulnerable households have a lower likelihood of concrete plans to migrate. This result supports the suggestion that it is not the "poorest of the poor", or in our case the "most vulnerable of the vulnerable" who aspire to move, indicating households have a realistic understanding of their capabilities taking into consideration the inherent costs and risks associated with cross-border movement.
    Keywords: Migration Intentions, Migration Motivations, Migration, Motivations, Vulnerability, Poverty, Afghanistan
    JEL: I32 O15
    Date: 2013
  14. By: Arauzo Carod, Josep Maria; Liviano Solís, Daniel
    Abstract: This paper is about determinants of migration at a local level. We use data from Catalan municipalities in order to understand what explains migration patterns trying to identify whether they are main explained by amenities or economic characteristics. We distinguish three typologies of migration in terms of distance travelled: short-distance, short-medium-distance and medium-distance and we hypothesize whether migration determinants vary across these groups. Our results show that, effectively, there are some noticeable differences, suggest that spatial issues must be taken into account and provide some insights for future research. Keywords: population dynamics, spatial econometrics. JEL codes: C21, R0, R23
    Keywords: Migració interna, Dinàmica de grups, Geografia humana -- Models matemàtics, 314 - Demografia, 32 - Política,
    Date: 2013
  15. By: Margolis, David N. (Paris School of Economics); Miotti, Luis (University of Paris 13); Mouhoud, El Mouhoub (Université Paris-Dauphine); Oudinet, Joël (University of Paris 13)
    Abstract: This article analyses the distributional impact of remittances across two regions of Algerian emigration (Nedroma and Idjeur) using an original survey we conducted of 1,200 households in 2011. Remittances and especially the role played by foreign pensions decrease the Gini index by nearly 4 % for the two Algerian regions, with the effect in Idjeur being twice as large as Nedroma. At the same time, they help reduce poverty by nearly 13 percentage points. Remittances have a strong positive impact on very poor families in Idjeur but much less in Nedroma, where poor families suffer from a “double loss” due to the absence of their migrants and the fact that the latter do not send money home.
    Keywords: remittances, migration, poverty, inequality, Algeria
    JEL: F24 O15 O55
    Date: 2013–11
  16. By: Gupta, Bishnupriya (University of Warwick); Swamy, Anand (Williams College)
    Abstract: Migration to tea plantations in Assam in the 19th century used indentured contracts. These contracts differed by conditions of harshness. Migration under the Special Act gained notoriety by giving tea planter the right of private arrest. Using a new set of migration by types of contract, the paper assesses if harsh terms of indenture discouraged labour flows. We find that regions using the harsh contract saw lower response to rise in the price of tea. Disaggregating by types of recruiter, we find that the response to market recruitment was high in all regions, but response to recruitment using community networks is statistically insignificant, suggesting that informational asymmetries may be an explanation for continuing migration despite concerns raised by the nationalist movement, social reformers and policy makers.
    Keywords: Jadhuram, Tea Plantations, Assam, migrant workers
    Date: 2013
  17. By: De Smet, Dieter
    Abstract: The Employing Skilled Expatriates indicators analyze the skilled immigration regime relevant for foreign direct investment across 93 economies to provide comparable information about this regulatory space. The indicators focus on restrictions that control the inflow of skilled immigrants (quotas); the ease of hiring skilled expatriates (time and procedural steps to obtain a temporary work permit, existence of online application systems, availability of a one-stop shop and fast-tracking option); and the existence of a path to permanent residency and citizenship as well as the existence of spousal work permits. As governments increasingly seek to attract foreign direct investment as a driver of long-term development, reforming the investment climate -- including the skilled immigration regime -- is one policy option to consider. This analysis shows a positive correlation between the Employing Skilled Expatriates index and foreign direct investment inflows. As measured by the Employing Skilled Expatriates index, there is room for economies with a need for skilled workers to improve their immigration regimes as one means of attracting more foreign direct investment. In Singapore and the Republic of Korea, it only takes ten days on average to obtain a temporary work permit. In Honduras, the same process can take up to 22 weeks. The global average to obtain a temporary work permit is eight weeks. The process is the fastest in the East Asia and the Pacific region where it takes five weeks. With 11 weeks, the processing time in the Middle East and North Africa region is the slowest.
    Keywords: Climate Change Mitigation and Green House Gases,Human Migrations&Resettlements,Voluntary and Involuntary Resettlement,International Migration,Tertiary Education
    Date: 2013–11–01
  18. By: Forlani, Emanuele; Lodigiani, Elisabetta; Mendolicchio, Concetta (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])
    Abstract: "This paper contributes to the literature on the impact of immigrants on native female labour supply. By segmenting the market by educational levels, we are able to investigate which nativeborn women are more affected by an increase of low-skilled immigrants working in the household service sector. We present a model of individual choice with home production and, using an harmonized dataset (CNEF), we test its main predictions. Our sample includes countries implementing different family policies. Our results suggest that the share of immigrants working in services in a given local labour market is positively associated with the probability of nativeborn women to increase their labour supply at the intensive margin (number of hours worked per week), if skilled, and at the extensive margin (participation decision), if unskilled. Moreover, they show that these effects are larger in countries with less family-supportive policies." (Author's abstract, IAB-Doku) ((en)) Additional Information Auch erschienen als: DEM working papers series 58
    Keywords: Einwanderer, ausländische Arbeitnehmer, Hochqualifizierte, Niedrigqualifizierte, Arbeitskräfteangebot, Frauen, Erwerbsbeteiligung, Familienpolitik, Australien, Bundesrepublik Deutschland, Großbritannien, USA, Schweiz, Bundesrepublik Deutschland
    JEL: J22 J61
    Date: 2013–11–18
  19. By: Keisuke Kawata (Hiroshima University); Kentaro Nakajima (Tohoku University); Yasuhiro Sato (Osaka University)
    Abstract: We develop a competitive search model involving multiple regions, geographically mobile work- ers, and moving costs. Equilibrium mobility patterns are analyzed and characterized, indicating that shocks to a particular region, such as a productivity shock, can propagate to other regions through workersf mobility. Moreover, equilibrium mobility patterns are not efficient due to the existence of moving costs, implying that they affect social welfare not only because they are costs but also be- cause they distort equilibrium allocation. By calibrating our framework to Japanese regional data, we demonstrate that the impacts of eliminating migration costs are comparable to those of a 30% productivity increase.
    Keywords: geographical mobility of workers, competitive job search, moving costs, labor market inte- gration
    JEL: J61 J64 R23
    Date: 2013–11
  20. By: Marion Mercier (DIAL - Développement, institutions et analyses de long terme - Institut de recherche pour le développement [IRD], PSE - Paris-Jourdan Sciences Economiques - CNRS : UMR8545 - École des Hautes Études en Sciences Sociales [EHESS] - École des Ponts ParisTech (ENPC) - École normale supérieure [ENS] - Paris - Institut national de la recherche agronomique (INRA), EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris)
    Abstract: This paper investigates the impact of political leaders' migration experience on the quality of their leadership. We build up an original database on the personal background of 932 politicians who were at the head of the executive power in a developing country over the 1960-2004 period. We put forward a positive e ffect of the leader having studied abroad on the level of democracy in his country during his tenure. This e ffect is shown to be independent from the leader's education level, as well as from his profession. Moreover, it is mainly driven by countries with a poor initial level of democracy. These results are con rmed by various robustness tests. They propose a new channel through which migration may a ect politics in the sending countries, namely the emergence of the elites.
    Keywords: Political leaders ; Migration ; Democracy ; Developing countries
    Date: 2013–11
  21. By: Marco DELOGU (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) and University of Luxemburg); Frédéric DOCQUIER (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) and FNRS, National Fund for Scientific Research); Joël MACHADO (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES))
    Abstract: This paper quantitatively investigates the short- and long-run effects of liberalizing global migration on the world distribution of income. We develop and parametrize a dynamic model of the world economy with endogenous migration, fertility and education decisions. We identify bilateral migration costs and their legal component for each pair of countries and two classes of worker. Our analysis reveals that the effects of a liberalization on human capital accumulation, income and inequality are gradual and cumulative. In case of a complete liberalization, the world average level of GDP per worker increases by 20 percent in the short-run, and by more than 55 percent after 50 years. The world average index of inequality decreases and the liberalization path has stochastic dominance over the Baseline-As-Usual. These results are very robust to our identifying assumptions. We also analyze partial liberalization shocks: effi ciency and inequality e¤ects are roughly proportional to the "liberalization rate".
    Keywords: Migration, Migration policy, Liberalization, Growth, Human Capital, Fertility, Inequality
    JEL: O15 F22 I24
    Date: 2013–11–15
  22. By: Asako Ohinata (University of Leicester); Jan C. van Ours (Tilburg University)
    Abstract: We analyze how the share of immigrant children in the classroom affects the educational attainment of native Dutch children in terms of their language and math performance at the end of primary school. Our paper studies the spill-over effects at different parts of the test score distribution of native Dutch students using a quantile regression approach. We find no evidence of negative spillover effects of the classroom presence of immigrant children at the median of the test score distribution. In addition, there is no indication that these spill-over effects are present at other parts of the distribution.
    Keywords: Immigrant children, Peer effects, Educational attainment
    JEL: I21 J15
    Date: 2013–11
  23. By: Hou, Feng; Picot, Garnett
    Abstract: This paper extends our understanding of the difference in university participation between students with and without immigrant backgrounds by contrasting outcomes in Switzerland and Canada, and by the use of new longitudinal data that are comparable between the countries. The research includes family socio-demographic characteristics, family aspirations regarding university education, and the student’s secondary school performance as explanatory variables of university attendance patterns. In Switzerland, compared to students with Swiss-born parents, those with immigrant backgrounds are disadvantaged regarding university participation, primarily due to poor academic performance in secondary school. In comparison, students with immigrant backgrounds in Canada display a significant advantage regarding university attendance, even among some who performed poorly in secondary school. The included explanatory variables can only partly account for this advantage, but family aspirations regarding university attendance play a significant role, while traditional variables such as parental educational attainment are less important. In both countries source region background is important. Possible reasons for the cross-country differences are discussed.
    Keywords: immigration, second generation, higher education, university participation
    JEL: J15 I24
    Date: 2013–11–22
  24. By: Maksim Rudnev (National Research University Higher School of Economics, Laboratory for Comparative Studies of Mass Consciousness. Research Fellow)
    Abstract: This paper challenges the common assumption that basic human values remain stable during the lifetime of an individual. The author demonstrates individual value change by studying migrants’ values which are prone to change after a move to a new country. Using cross-sectional data, the author estimated the relative impacts of country of birth and country of residence – and values that are common – on individual values of migrants. Values were measured by Schwartz’s questionnaire as well as Inglehart’s Self-Expression items. Cross-classified multilevel regression models were applied to the sample of migrants, selected from five rounds of the European Social Survey. The results demonstrated the significance of both the country of residence and the country of birth as well as values which are common in these countries. Surprisingly, the impact of the country of residence on migrants’ values appeared to be higher than the country of birth. Furthermore, values which are common in the country of residence have a higher impact on migrant values than values widespread in their country of birth. The findings suggest that values are only partly formed during the formative period and keep changing throughout a person’s life
    Keywords: basic values, cross-classified multilevel model, value change, value adaptation, intra-European migrants, European Social Survey
    JEL: Z10
    Date: 2013
  25. By: Ian Preston (University College London)
    Abstract: The impact of immigration on the public finances is an important influence on public opinion. This paper aims to provide a thorough conceptual survey, pointing out the complexities of a full understanding and the relevance of indirect effects and covering both static perspectives and longer run dynamic issues. It considers simple accounting approaches which are relatively neglectful of behavioural responses but also tries to bring out the complexities in the nature of the relationship between rates of immigration and the public exchequer that come with more sophisticated modelling of its economic effects.
    Date: 2013–11
  26. By: David de la CROIX (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES)); Frédéric DOCQUIER (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) and FNRS); Maurice SCHIFF (The World Bank, Development Research Group)
    Abstract: Brain drain is a major issue for Small Island Developing States (SIDS). Econometric analysis confirms that smallness has a strong positive impact per se on emigration rates. On average, 50 percent of the high-skilled labour force in SIDS has left their country, and the brain drain exceeds 75 percent in a few cases. In this paper, we document this phenomenon and study the bi-directional links between brain drain and development. We show that these interdependencies can be the source of multiple equilibria and that small states are much more likely to be badly coordinated than other developing countries and settle in a bad equilibrium. The reason is that their elasticity of emigration to economic performance is larger. After calibration, we identify an important number of badly coordinated SIDS and quantify the economic costs of coordination failure. These costs may exceed 100 percent of the observed GDP per capita. Badly coordinated small states require appropriate development policies aimed at retaining or repatriating their high-skilled labour force.
    Keywords: Brain drain, development, small island developing states, coordination failure
    Date: 2013–11–18

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