nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2016‒02‒23
thirteen papers chosen by
Yuji Tamura
La Trobe University

  1. Can parental migration reduce petty corruption in education? By Höckel, Lisa Sofie; Santos Silva, Manuel; Stöhr, Tobias
  2. Job Loss and Immigrant Labor Market Performance By Bratsberg, Bernt; Raaum, Oddbjørn; Røed, Knut
  3. Ethnic Diversity and Well-Being By Akay, Alpaslan; Constant, Amelie F.; Giulietti, Corrado; Guzi, Martin
  4. Intergenerational and Inter-Ethnic Well-Being: An Analysis for the UK By Richard Dorsett; Cinzia Rienzo; Martin Weale
  5. Return migration of high skilled workers By Franses, Ph.H.B.F.
  6. The Impact of Internal Displacement on Destination Communities: Evidence from the Colombian Conflict By Juan S. Morales
  7. The Abyss of Complexity. Some Remarks on European and German Law in the Migration Crisis By Sölter, Nicolas
  8. Migration Outflows and Optimal Migration Policy: Rules versus Discretion By Ismael Issifou; Francesco Magris
  9. Internal Migration and Human Capital Theory: To What Extent Is It Selective By Korpi, Martin; Clark, William
  10. Do differences in international labor mobility lead to differences in the fiscal multiplier? A theoretical approach By Pfammatter, Andrea Corina
  11. Macroeconomic fluctuations in home countries and immigrants’ well-being: New evidence from Down Under By Nguyen, Ha; Duncan, Alan
  12. Immigration and Economic Growth in the OECD Countries 1986-2006 By Ekrame Boubtane; Jean-Christophe Dumont; C. Rault
  13. Donors' openness to immigration and the effectiveness of foreign aid By Minasyan, Anna; Nunnenkamp, Peter

  1. By: Höckel, Lisa Sofie; Santos Silva, Manuel; Stöhr, Tobias
    Abstract: Educational outcomes of children are highly dependent on household and schoollevel inputs. In poor countries, remittances from migrants can provide additional funds for the education of the left behind. At the same time the absence of migrant parents can affect families' time allocation towards education. Previous work on education inputs often implicitly assumed that preferences for different kinds of education inputs remain unchanged when household members migrate. Using survey data from Moldova, one of the countries with the highest emigration rates in the world, and an instrumental variable approach we find that the strongest migration-related response in private education expenditure are substantially lower informal payments to public school teachers. This fact is at odds with a positive income effect due to migration. We argue that our results are likely to be driven by changing preferences towards educational inputs induced by migration.
    Abstract: Die schulische Leistung von Kindern hängt stark von deren Förderung durch Familie und Schule ab. Gerade in einkommensschwachen Ländern können Rücksendungen (Remissionen) ausgewanderter Familienmitglieder zusätzliche Mittel für die Bildung der in der Heimat zurückgebliebenen Kinder bereitstellen. Zusätzlich zu diesem Einkommenseffekt beeinflusst die Abwesenheit eines oder mehrerer (ausgewanderter) Elternteile auch die Zeiteinteilung der Familien in Bezug auf Bildung, so dass ein insgesamt negativer Effekt erzielt werden könnte. Viele ökonomische Studien der schulischen Bildung setzen voraus, dass sich die Präferenzen für unterschiedliche Bildungsinvestitionen trotz Migration nicht verändern. In dieser Studie untersuchen wir Daten aus Moldawien, einem der Länder mit der höchsten Emigrationsrate weltweit, mit einem Instrumentalvariablenansatz. Wir gelangen zu dem Ergebnis, dass eine Reduktion der informellen Zahlungen an Lehrer die stärkste migrationsbedingte Reaktion der Haushalte in Bezug auf die Bildung ihrer Kinder ist. Da dies dem positiven Einkommenseffekt durch Migration entgegenläuft, argumentieren wir, dass Migration auch die Präferenzen für Bildungsinvestitionen verändert.
    Keywords: migration,emigration,education spending,social remittances,corruption,children left behind
    JEL: F22 I22 D13 H52
    Date: 2015
  2. By: Bratsberg, Bernt (Ragnar Frisch Centre for Economic Research); Raaum, Oddbjørn (Ragnar Frisch Centre for Economic Research); Røed, Knut (Ragnar Frisch Centre for Economic Research)
    Abstract: While integration policies typically focus on labor market entry, we present evidence showing that immigrants from low‐income countries tend to have more precarious jobs, and face more severe consequences of job loss, than natives. For immigrant workers in the Norwegian private sector, the probability of job loss in the near future is twice that of native workers. Using corporate bankruptcy for identification, we find that the adverse effects of job loss on future employment and earnings are more than twice as large for immigrant employees.
    Keywords: migration, job loss, firm closure, unemployment
    JEL: F22 H55 J24 J65
    Date: 2016–02
  3. By: Akay, Alpaslan (University of Gothenburg); Constant, Amelie F. (Temple University); Giulietti, Corrado (University of Southampton); Guzi, Martin (Masaryk University)
    Abstract: This paper investigates how ethnic diversity, measured by the immigrants' countries of origin, influences the well-being of the host country. Using panel data from Germany for the period 1998 to 2012, we find a positive effect of ethnic diversity on the well-being of German citizens. To corroborate the robustness of our results, we estimate several alternative specifications and investigate possible causality issues, including non-random selection of natives and immigrants into regions. Finally, we explore productivity and social capital as potential mechanisms behind our finding.
    Keywords: ethnic diversity, subjective well-being, assimilation, multiculturality
    JEL: C90 D63 J61
    Date: 2016–02
  4. By: Richard Dorsett; Cinzia Rienzo; Martin Weale
    Abstract: This paper uses a UK nationally representative data set to examine the extent to which family migration history helps explains inter-ethnic variations in subjective well-being. We confirm that there is significant variation in well-being across ethnic group and across migrant generations. On average, recent migrants appear to have higher levels of well-being. We also find that, while language difficulties are associated with lower well-being, retaining cultural links is important: living in areas where one’s own ethnic group is well represented and having friends from the same ethnic group is associated with a higher level of well-being. Individuals’ choice to retain cultural ties and identity may alleviate feelings of cultural distance and difficulties with integration.
    Date: 2015–07
  5. By: Franses, Ph.H.B.F.
    Abstract: __Abstract__ In this paper we study the determinants of skilled return migration from the Netherlands to Suriname. Based on a survey of Gibson and McKenzie (2011) we managed to interview 283 former top students from Suriname. This unique database is informative in various dimensions. High skilled workers whose education was funded by a scholarship or by the parents are more likely to return. They tend to choose for the country where their parents, lifepartner and children live. Workers that perform management tasks and/or are in touch with clients exhibit higher chances to live in the home country. One might think of consultants or business managers. Furthermore we find that preferences towards the Netherlands regarding salaries, job contentment, and safety, lower the likelihood of opting for Suriname in the future. Facilitating high skilled workers in Suriname helps to increase return migration, and policies aimed at facilitating family members can also be beneficial. Scholarships and supply of tertiary education in Suriname remain important.
    Keywords: return migration, brain drain, brain gain, high skilled, tertiary education
    Date: 2015–01–19
  6. By: Juan S. Morales (Department of Economics, University of Toronto)
    Abstract: More than ten percent of the population of Colombia has been forced to migrate due to civil war. This study employs an enclave IV strategy, which exploits social distance between origin and destination locations, as well as conflict induced migration, to estimate the impact that the arrival of displaced individuals has on local residents. I compare the effects on four different subgroups of the population, partitioned by skill (low-skilled versus high-skilled) and by gender. The analysis suggests that a conflict-induced increase in population leads to a short-run negative impact on wages. Though the impact tends to dissipate over time, it persists for one group, low-skilled women. The arrival of internally displaced people also affects local access to public goods, I find a negative effect on access to piped water, and a positive effect on access to trash collection services.
    Keywords: civil conflict; migration; labour markets; public goods
    JEL: H41 J40 J61 O15 R23
    Date: 2016–02
  7. By: Sölter, Nicolas
    Abstract: This article focusses on dysfunctions of European and German law in the face of mass migration. In particular, it reflects the German debate on the relation of domestic constitutional provisions and EU asylum law.
    Keywords: Law, Refugee Crisis, Migration Crisis, Dublin Regulation, Temporary Protection Directive, Separation of Powers, Federal Loyalty
    Date: 2016–02–09
  8. By: Ismael Issifou (LEO - Laboratoire d'Economie d'Orléans - CNRS - Université d'Orléans); Francesco Magris (Universite´ Francois Rabelais de Tours - Universite´ Francois Rabelais de Tours, LEO - Laboratoire d'Economie d'Orléans - CNRS - Université d'Orléans)
    Abstract: We study the effects of more open borders on return migration and show that migrants are more likely to return to the origin country when migration rules are softer, because this implies that they could more easily re-migrate if return migration is unsuccessful. As a result, softening migration rules leads to lower net in ows than generally acknowledged. We show that if government follows rules to shape the optimal migration policy, it will chose more open borders than in the case its behavior is discretionary. However, this requires an appropriate commitment technology. We show that electoral accountability may be a solution of the commitment problem. As a matter of fact, observed softer immigration rules in western countries suggest the effectiveness of such a mechanism.
    Abstract: Cet article analyse les effets d'une politique souple de fermeture des frontières sur la migration retour. Nos résultats montrent que les migrants sont plus incités à retourner dans leur pays d'origine lorsque les politiques migratoires sont souples, leur garantissant ainsi la possibilité de re-émigrer en cas de chocs adverses dans le pays d'origine. Jusqu'alors méconnu, les politiques migratoires moins restrictives réduisent les flux nets de migrants. Aussi, la politique migratoire optimale définie par un gouvernement sous une politique de règle est plus souple qu'elle le serait si le même gouvernement adoptait une politique discrétionnaire. Par ailleurs, des pays d'origine plus stables sont profitables à la fois aux pays de destination par un faible de stock de migrants et aux migrants par une forte productivité du travail dans leur pays d'origine.
    Keywords: Migration Return, Optimal Migration Policy, Time Consis- tency
    Date: 2015
  9. By: Korpi, Martin (The Ratio institute); Clark, William (UCLA)
    Abstract: Empirical studies of international labor migration, modelling average outcomes, suggest migrants move to enhance returns to their labor. In contrast, major international surveys show less than a third of internal migrants as motivated by employment reasons. Using Swedish panel data for the years 2001-2009, this paper addresses this disconnect by examining the full distribution of migrant income changes. Results from initial CEM matching and quantile regression suggest that large returns to internal migration are mostly captured by the higher educated. Much if not most of migration outcomes are however a wash and indeed often negative in terms of pay – off. This suggests models of average outcomes as insufficient in addressing human capital motivated migration.
    Keywords: migration; human capital; labor mobility; urban rural
    JEL: J24 J31 J61 R12
    Date: 2014–12–31
  10. By: Pfammatter, Andrea Corina
    Abstract: A real business cycle economy with endogenous labor supply and heterogeneous households is modeled. I allow for different degrees of labor migration to assess potential differences in the effects of changes in government consumption on aggregate economic activity. I argue that a relatively elastic labor migration with respect to economic activity may have a positive effect on the effectiveness of fiscal policy because labor migration may influence labor market adjustments after a positive government consumption shock. The findings suggest that there is a positive relationship between labor migration elasticity and the size of the fiscal multiplier. However, whether the relationship is economically meaningful is uncertain and requires further research.
    Keywords: Fiscal multiplier, fiscal policy, RBC model, international labor migration
    JEL: F22 F44 H3 J61
    Date: 2015–09–28
  11. By: Nguyen, Ha; Duncan, Alan
    Abstract: In this paper we provide the first solid empirical evidence that improvements in home countries’ macroeconomic conditions, as measured by a higher GDP per capita or lower price levels, increase immigrants’ subjective well-being. We demonstrate this by using 12 years of data from the Household Income and Labour Dynamics in Australia panel, as well as macroeconomic indicators for 59 countries of origin, and exploiting exogenous changes in macroeconomic conditions across home countries over time. Controlling for immigrants’ observable and unobservable characteristics we also find the positive GDP impact is statistically significant and economically large in size. Furthermore, the GDP and price impact erodes when immigrants get older, or when they stay in the host country beyond a certain period of time. However, home countries’ unemployment rates and exchange rate fluctuations have no impact on immigrants’ well-being.
    Keywords: GDP, unemployment, inflation, exchange rate, well-being, immigrants, Australia
    JEL: F22 I31 J15
    Date: 2015–03
  12. By: Ekrame Boubtane (CERDI - Centre d'études et de recherches sur le developpement international - Université d'Auvergne - Clermont-Ferrand I - CNRS - Centre National de la Recherche Scientifique); Jean-Christophe Dumont (OECD - Organisation for Economic Cooperation and Development); C. Rault (LEO - LEO - UO - Université d'Orléans)
    Abstract: This paper offers a reappraisal of the impact of migration on economic growth for 22 OECD countries between 1986-2006 and relies on a unique data set we compiled that allows us to distinguish net migration of the native - and foreign - born populations by skill level. Specifically, after introducing migration in an augmented Solow-Swan model, we estimate a dynamic panel model using a system of generalized method of moments (SYS-GMM) to address the risk of endogeneity bias in the migration variables. Two important findings emerge from our analysis. First, there exists a positive impact of migrants' human capital on GDP per capita, and second, a permanent increase in migration flows has a positive effect on GDP per worker. Moreover, the growth impact of immigration is high even in countries that have non-selective migration policies.
    Keywords: Immigration , Growth , Human capital , Generalized Methods of Moments
    Date: 2016–01–07
  13. By: Minasyan, Anna; Nunnenkamp, Peter
    Abstract: We argue that donors could improve the effectiveness of foreign aid by pursuing complementary and coherent non-aid policies. In particular, we hypothesize that aid from donors that are open to immigration has stronger growth effects than aid from closed donors. We estimate the aid-growth nexus in first differences to mitigate endogeneity concerns. Our empirical results support the hypothesis that donors' openness to immigration strengthens the growth effects of foreign aid.
    Keywords: aid effectiveness,migration,remittances,economic growth
    JEL: F35 F24 O11
    Date: 2015

This nep-mig issue is ©2016 by Yuji Tamura. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
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