nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2015‒02‒16
five papers chosen by
Yuji Tamura
La Trobe University

  1. Long Lasting Differences in Civic Capital: Evidence from a Unique Immigration Event in Italy By Bracco, Emanuele; De Paola, Maria; Green, Colin P.
  2. Institutions and the Location Decisions of Highly Skilled Migrants to Europe By Klaus Nowotny
  3. What Institutions help immigrants Integrate? By Peter Huber
  4. Source-country Female Labour Force Participation and the Wages of Immigrant Women in Canada By Frank, Kristyn; Hou, Feng
  5. How Changes in Immigration Policy Would Affect the Federal Budget By Congressional Budget Office

  1. By: Bracco, Emanuele (Lancaster University); De Paola, Maria (University of Calabria); Green, Colin P. (Lancaster University)
    Abstract: A range of evidence exists demonstrating that social capital is associated with a number of important economic outcomes such as economic growth, trade and crime. A recent literature goes further to illustrate how historical events and variation can lead to the development of differing and consequential social norms. This paper examines the related questions of how persistent initial variations in social capital are, and the extent to which immigrant groups, do or do not converge to the cultural and social norms of their recipient country by examining a unique and geographically concentrated immigration event in 16th century Italy. We demonstrate that despite the substantial time since migration these communities still display different behaviour consistent with higher civic capital than other comparable Italian communities. Moreover, we demonstrate that this difference does not appear to have changed over the last 70 years. For instance, differences in voter turnout apparent in the late 1940s remain in the 21st century. This latter finding has implications for our view of the likelihood of assimilation of immigrant groups to local norms, particularly in cases of large-scale migration.
    Keywords: social capital, electoral turnout, migration, persistence
    JEL: A13 D72 P16
    Date: 2015–01
  2. By: Klaus Nowotny
    Abstract: This paper investigates the economic, labor market and institutional factors that make regions and countries attractive for highly skilled migrants vis-`a-vis lowskill migrants. Based on micro-data for 11 EU countries, a discrete choice model estimated at the NUTS-2 level shows that location decisions are not only determined by factors related to earnings opportunities, distance, networks, common language and colonial relationships, but also by institutional factors such as migration policy, the income tax system, or labor market institutions; it also lends some support to the welfare magnet hypothesis: a higher unemployment replacement rate increases the attractiveness of a country. The empirical analysis however reveals only minor differences in the effects of institutions on location decisions by skill level, limiting the scope for policy makers to affect the skill composition of migration.
    Keywords: Highly skilled migration, regional location decisions, institutions, migration policy
    JEL: F22 R23 C35
    Date: 2015–01
  3. By: Peter Huber
    Abstract: I analyse the importance of national migration policy and labour market institutions for immigrants’ labour market integration. Results indicate that the sending country structure of immigrants to a country, its ethnic diversity and its wage bargaining institutions as well as product market regulation are the most important national institutions impacting immigrants’ labour market integration. Variables related to the generosity of the welfare state and tax progressivity are, by contrast, only important in selecting migrants with high employment probabilities and migration policy variables remain unimportant altogether. Countries with more centralized wage bargaining, stricter product market regulation and countries with a higher union density, have worse labour market outcomes for their immigrants relative to natives even after controlling for compositional effects. Immigrants with better chances for labour market integration on account of observable characteristics self-select to countries with more centralised wage bargaining and higher minimum wages but a lower coverage rate by collective agreements. Liberal product market regulation, less centralised wage bargaining and ensuring inclusive trade unions thus assist the integration of immigrants in host countries’ labour markets most strongly.
    Keywords: Immigrant Integration, Migration Policy, Labour Market Institutions
    JEL: J15 J61
    Date: 2015–01
  4. By: Frank, Kristyn; Hou, Feng
    Abstract: Previous studies have found a strong association between source-country female labour force participation rates and immigrant women?s labour force participation in the host country. This relationship is interpreted as the enduring influence of source-country gender-role attitudes on immigrant women?s labour market activity. However, the assumption that source-country female labour force participation levels closely capture cultural gender-role attitudes has not been carefully examined. Furthermore, little is known about how source-country characteristics might be correlated with immigrant women?s labour market outcomes after entering the host country?s labour market. This paper extends the current literature by addressing three questions: What is the relationship between source-country gender-role attitudes and source-country female labour force participation? Does the relationship between the source-country female labour force participation rates and immigrant women?s labour force participation in the host country persist when source-country gender-role attitudes are taken into account? Are source-country female labour force participation rates and source-country gender-role attitudes associated with immigrant women?s wages in Canada?
    Keywords: Ethnic diversity and immigration, Immigrants and non-permanent residents, Income, pensions, spending and wealth, Labour, Labour market and income, Low income and inequality, Wages, salaries and other earnings
    Date: 2015–01–28
  5. By: Congressional Budget Office
    Abstract: In recent years, policymakers have considered proposals to modify the nation’s immigration system. This report describes the factors CBO considers when it assesses the budgetary effects of proposed changes to immigration policy. The report details noncitizens’ eligibility for federal benefits and their tax liability, and the kinds of effects that changes in immigration policies could have on the federal budget.
    JEL: J11 J61
    Date: 2015–01–15

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