nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2016‒08‒14
seven papers chosen by
Yuji Tamura
La Trobe University

  1. Persistent Social Networks: Civil War Veterans who Fought Together Co-Locate in Later Life By Dora L. Costa; Matthew E. Kahn; Christopher Roudiez; Sven Wilson
  2. The Evolution of Physician Practice Styles: Evidence from Cardiologist Migration By David Molitor
  3. The Role of Fees in Foreign Education: evidence from Italy and the UK By Michel Beine; Marco Delogu; Lionel Ragot
  4. The Economics and Politics of Refugee Migration By Christian Dustman; Francesco Fasani Fasani; Tommaso Frattini; Luigi Minale; Uta Schӧnberg
  5. Labor Supply Shocks, Native Wages, and the Adjustment of Local Employment By Christian Dustman; Uta Schönberg; Jan Stuhler
  6. "The Impact of Immigration on the Native-born Unemployed" By Fernando Rios-Avila; Gustavo Canavire-Bacarreza
  7. Naturalisation and Investments in Children's Human Capital: Evidence from a Natural Experiment By Friedericke von Haaren-Giebel

  1. By: Dora L. Costa; Matthew E. Kahn; Christopher Roudiez; Sven Wilson
    Abstract: At the end of the U.S Civil War, veterans had to choose whether to return to their prewar communities or move to new areas. The late 19th Century was a time of sharp urban growth as workers sought out the economic opportunities offered by cities. By estimating discrete choice migration models, we quantify the tradeoffs that veterans faced. Veterans were less likely to move far from their origin and avoided urban immigrant areas and high mortality risk areas. They also avoided areas that opposed the Civil War. Veterans were more likely to move to a neighborhood or a county where men from their same war company lived. This co-location evidence highlights the existence of persistent social networks. Such social networks had long-term consequences: veterans living close to war time friends enjoyed a longer life.
    JEL: J61 N91 R23
    Date: 2016–07
  2. By: David Molitor
    Abstract: Physician treatment choices for observably similar patients vary dramatically across regions. This paper exploits cardiologist migration to disentangle the role of physician-specific factors such as preferences and learned behavior versus environment-level factors such as hospital capacity and productivity spillovers on physician behavior. Physicians who start in the same region and subsequently move to dissimilar regions practice similarly before the move, but each percentage point change in practice environment results in an immediate 2/3 percentage point change in physician behavior, with no further changes over time. This suggests environment factors are twice as important as physician-specific factors for explaining regional disparities.
    JEL: H51 I11 I18
    Date: 2016–08
  3. By: Michel Beine (CREA, Université du Luxembourg); Marco Delogu (CREA, Université du Luxembourg); Lionel Ragot (Université de Paris Ouest)
    Abstract: This paper studies the determinants of international students mobility at the university level, focusing specifically on the role of tuition fees. We derive a gravity model based on a Random Utility Maximization model of location choice for international students. The last layer of the model is estimated using new data on students migration flows at the university level for Italy and the UK. The particular institutional setting of the two destinations countries allows to control for the potential endogeneity of tuition fees. We obtain evidence for a clear and negative effect of fees on international student mobility and confirm the positive impact of quality of education. The estimations find also support for an important role of additional destination-specific variables such as host capacity, expected return of education and cost of living in the vicinity of the university.
    Keywords: Foreign Students, Tuition fees, Location choice, University quality
    JEL: F22 H52 O16
    Date: 2016
  4. By: Christian Dustman (University College London); Francesco Fasani Fasani (Queen Mary); Tommaso Frattini (Università degli Studi di Milano); Luigi Minale (Universidad Carlos III de Madrid); Uta Schӧnberg (University College London)
    Abstract: This paper provides a comprehensive review and analysis of refugee migration, with emphasis on the current refugee crisis. After first reviewing the institutional framework laid out by the Geneva Convention for Refugees, we demonstrate that, despite numerous attempts at developing a common European asylum policy, EU countries continue to differ widely in interpretation and implementation. We then describe key features of the current refugee crisis and document the overall magnitudes and types of refugee movements, illegal border crossings, and asylum applications to EU member states. We next turn to the economics of refugee migrations, contrasting economic and refugee migrants, discussing the trade-offs between long-term asylum and temporary protection, and highlighting the economic advantages of increasingly coordinating the different national asylum policies. Finally, we illustrate the economic integration of past refugee migrants to EU countries and conclude with several policy recommendations.
    Keywords: asylum policy, asylum seekers, refugee crisis
    JEL: F22 J15 J61
    Date: 2016–08
  5. By: Christian Dustman (University College London); Uta Schönberg (University College London); Jan Stuhler (Universidad Carlos III de Madrid)
    Abstract: By exploiting a commuting policy that led to a sharp and unexpected inflow of Czech workers to areas along the German-Czech border, we examine the impact of an exogenous immigration-induced labor supply shock on local wages and employment of natives. On average, the supply shock leads to a moderate decline in local native wages and a sharp decline in local native employment. These average effects mask considerable heterogeneity across groups: while younger natives experience larger wage effects, employment responses are particularly pronounced for older natives. This pattern is inconsistent with standard models of immigration but can be accounted for by a model that allows for a larger labor supply elasticity or a higher degree of wage rigidity for older than for young workers. We further show that the employment response is almost entirely driven by diminished inflows of natives into work rather than outflows into other areas or non-employment, suggesting that “outsiders†shield “insiders†from the increased competition.
    Keywords: Immigration, wage effects, labor supply elasticity, internal migration
    JEL: J21 J22 J61 R23
    Date: 2016–08
  6. By: Fernando Rios-Avila; Gustavo Canavire-Bacarreza
    Abstract: In this policy note, Research Scholar Fernando Rios-Avila and Gustavo Canavire-Bacarreza, Universidad EAFIT, observe that immigration in the United States has a small but statistically significant impact on the labor market behavior of native-born unemployed workers. Their chances of transitioning from unemployment to employment are not affected by the share of immigrants in their job markets, but the native-born unemployed are more likely to leave the labor force when living in areas with a higher relative concentration of immigrants. Three additional results of the study shed light on what might be contributing to this higher rate of labor market exit, with each pointing to the potential role of expectations in creating a discouraged worker effect among the native-born unemployed in high-immigration states.
    Date: 2016–08
  7. By: Friedericke von Haaren-Giebel
    Abstract: This paper assesses educational attainment of immigrant children, in particular evaluating whether naturalised parents invest more in their children’s human capital than non-naturalised parents. Findings of the literature indicate that citizenship is associated with lower return migration probability. Since the returns to investments in (country-specific) human capital increase with the duration of residence, naturalised parents may have more incentives to invest in the educational success of their children. I exploit a natural experiment that took place in Germany in the year 2000 that reduced the required years of residence for naturalisation from 15 to 8 and therefore exogenously increased naturalisation. Multivariate estimations (based on the German Socio-Economic Panel) show a positive and significant correlation between parents’ citizenship status and their children’s educational attainment. Results of difference-in-differences and instrumental variable models are also positive but not significant.
    Keywords: Citizenship, integration, education, SOEP
    JEL: J15 J24 I24
    Date: 2016

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