nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2018‒04‒02
eight papers chosen by
Yuji Tamura
La Trobe University

  1. Migration in China: To Work or to Wed? By Dupuy, Arnaud
  2. Climate change and Migration: Is Agriculture the Main Channel? By Chiara Falco; Marzio Galeotti; Alessandro Olper
  3. Dynamic Causal Effects of Post-Migration Schooling on Labour Market Transitions By Guy Lacroix; Marie Albertine Djuikom Tamtchouong
  4. What drives the legalization of immigrants? Evidence from IRCA By Casarico, Alessandra; Facchini, Giovanni; Frattini, Tommaso
  5. The impact of patent protection on R&D. Evidence using export markets. By Joel Blit; Mikal Skuterud; Jue Zhang
  6. Immigrant entrepreneurs, diasporas and exports By Bratti, Massimiliano; De Benedictis, Luca; Santoni, Gianluca

  1. By: Dupuy, Arnaud (University of Luxembourg)
    Abstract: This paper develops a model encompassing both Becker's matching model, and Tinbergen-Rosen's hedonic model. We study its properties and provide identification and estimation strategies. Using data on internal migration in China, we estimate the model and compute equilibrium under counter-factual alternatives to decompose the migration surplus. Our findings reveal that about 1/5 of the migration surplus of migrant women is generated in the marriage market and 3/5 in the labor market. We also find that the welfare of urban men married with a migrant wife would have been 10% lower had their migrant wives not entered the urban marriage market.
    Keywords: sorting in many local markets, marriage market, hedonic and matching models
    JEL: D3 J21 J23 J31
    Date: 2018–02
  2. By: Chiara Falco; Marzio Galeotti; Alessandro Olper
    Abstract: Migration and climate change are two of the most important challenges the world currently faces. They are connected as climate change may stimulate migration. One of the sectors most strongly affected by climate change is agriculture, where most of the world’s poor are employed. Climate change may affect agricultural productivity and hence migration because of its impact on average temperatures and rainfall and because it increases the frequency and intensity of weather shocks. This paper uses 50 years of data, from 1960 to 2010, for more than 150 countries to analyse the relationship between weather variation, agricultural productivity and migration. Our main findings are that, in line with theoretical predictions, negative shocks to agricultural productivity caused by weather fluctuations significantly increase migration in middle and lower income countries but not in the poorest and in the rich countries. The results are robust to different econometric specifications.
    Keywords: Climate Change, Temperature, Agriculture, International Migration
    JEL: F22 Q54 O13 Q15
    Date: 2018
  3. By: Guy Lacroix; Marie Albertine Djuikom Tamtchouong
    Abstract: Immigrants often experience difficulties integrating the local labor market. In Canada, the government of Quebec implemented a program back in 1996 that explicitly selected highly qualified workers (Bachelors’, Masters’ or PhD’s). This paper investigates the extent to which the return to foreign-acquired human capital is different from the education acquired in Quebec. Specifically, we seek to estimate the benefits of post-migration education over foreign-education on the transitions between qualified and unqualified jobs and unemployment by means of a multiple-spells and multiple-states model. Our results indicate that immigrants originating from well-off countries have no need to further invest in domestic education. On the other hand, immigrants from poorer countries, despite being highly qualified, benefit greatly from such training in the long run as it eases their transitions into qualified and unqualified jobs and out of unemployment. Our results also indicate that selection into domestic education needs to be accounted for to avoid significant selection problems.
    Keywords: Post-migration schooling, foreign education, labour market histories, multiple-spells multiple-states models
    JEL: C31 C41 J15 J24 J64 J61
    Date: 2018
  4. By: Casarico, Alessandra; Facchini, Giovanni; Frattini, Tommaso
    Abstract: We develop a model to understand the trade-offs faced by an elected representative in supporting an amnesty when a restrictive immigration policy is in place. We show that an amnesty is more desirable the more restricted are the occupational opportunities of undocumented immigrants and the smaller is the fiscal leakage to undocumented immigrants via the welfare state. Empirical evidence based on the voting behaviour of U.S. Congressmen on the Immigration Reform and Control Act of 1986 provides strong support for the predictions of our theoretical model.
    Keywords: amnesties; migration policy; Roll Call Votes
    JEL: F22 O51
    Date: 2018–03
  5. By: Joel Blit (Department of Economics, University of Waterloo); Mikal Skuterud (Department of Economics, University of Waterloo); Jue Zhang (Department of Economics, University of Waterloo)
    Abstract: We examine the effect of changes in skilled-immigrant population shares in 98 Canadian cities between 1981 and 2006 on per capita patents. The Canadian case is of interest because its `points system’ for selecting immigrants is viewed as a model of skilled immigration policy. Our estimates suggest that the impact of increasing the share of university-educated immigrants on patenting rates is smaller than the impact that both native-borns have in Canada and immigrants have in the U.S.. The modest contribution of Canadian immigrants to innovation is largely explained by the fact that only about one-third of Canadian STEM-educated immigrants find employment in STEM jobs (relative to two-fifths of the Canadian-born and one-half of immigrants in the U.S.). Consistent with this, we find a large and significant effect of STEMeducated immigrants when we also condition on STEM employment. Our results suggest potential benefits from giving employers a role in the selection of skilled immigrants.
    JEL: J61 J18 O31
  6. By: Bratti, Massimiliano (European Commission – JRC); De Benedictis, Luca (University of Macerata); Santoni, Gianluca (CEPII)
    Abstract: In this paper we highlight a new complementary channel to the business and social network effect à la Rauch (2001) through which immigrants generate increased export flows from the regions in which they settle to their countries of origin: they can become entrepreneurs. Using very small-scale (NUTS-3) administrative data on immigrants' location in Italy, the local presence of immigrant entrepreneurs (i.e. firms owned by foreign-born entrepreneurs) in the manufacturing sector, and on trade flows in manufacturing between Italian provinces and more than 200 foreign countries, we assess the causal relationship going from diasporas and immigrant entrepreneurs towards export flows. Both the size of the diaspora and the number of immigrant entrepreneurs have a positive, significant and economically meaningful effect on exports. In particular, we find that increasing the stock of (non-entrepreneur) immigrants by 10% would lead to a 1.7% increase in exports in manufacturing, while increasing the number of immigrant entrepreneurs in manufacturing by 10% would raise exports by about 0.6%.
    Keywords: exports, immigrants, gravity model, immigrant entrepreneurs, Italy
    JEL: F10 F14 F22 R10
    Date: 2018–01
  7. By: Blaise Gnimassoun; C. John Anyanwu
    Abstract: While the dominant collective belief asserts that brain drain is detrimental to the development of small economies, new studies hold the reverse view. This paper aims at studying the role of the African Diaspora in the economic development of Africa. It analyzes both the overall effect and the specific effect of emigration according to the level of education of emigrants. Then, through a deeper investigation, the paper analyzes the main channels through which the Diaspora influences economic development in Africa. The results show that the African Diaspora contributes positively, significantly and robustly to the improvement of real per capita income in Africa. These findings challenge the dominant collective belief since the higher the educational level of the emigrants, the greater the impact of the Diaspora on the level of economic development. Improvements in human capital, total factor productivity and democracy are effective transmission channels of this impact. Finally, the results show that while high-skilled emigrants have an overall greater impact on economic development and democracy, those with a low level of education contribute more to remittances to Africa. The establishment of an annual African Diaspora Summer School (ADSS) by the AfDB in partnership relevant international and regional stakeholders as a channel for the transfer of knowledge, technology and experience would further strengthen the role of the Diaspora in Africa’s economic development.
    Keywords: International migration, Economic development, Africa.
    JEL: F22 O55
    Date: 2018
  8. By: Diogo Lourenço (Faculty of Economics, University of Porto); Carla Sá (School of Economics and Management, University of Minho); Orlanda Tavares (Agency for Assessment and Accreditation of Higher Education)
    Abstract: We examine the impact of spatial mobility on enrolments in higher education. Candidates are grouped per their willingness to move and the district of placement. Findings point to a sizeable group who are voluntarily mobile or immobile. About 20% of students, however, were not placed in their first choice of destination. Using a logit model, estimation shows that candidates pushed away face a probability of enrolment about 17 percentage points lower than that of those who voluntarily stay in their home district. The availability of private sector alternatives in the home district has a role in the enrolment likelihood.
    Keywords: Student Mobility; Enrolments; Involuntary Mobility
    JEL: I23 R23
    Date: 2017–09

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