nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2023‒10‒23
eight papers chosen by
Yuji Tamura,  La Trobe University

  1. Can refugees improve native children’s health?: Evidence from Turkey By Cansu Oymak; Jean-François Maystadt
  2. Two possible reasons behind the reluctance of low-skilled workers to migrate to generous welfare states By Łukasz Byra
  3. The social and solidarity economy as a partner along the refugee journey By OECD
  4. The Impact of Immigration on the Employment Dynamics of European Regions By Anthony Edo; Cem Özgüzel
  5. Effects of Occupational License Access on Undocumented Immigrants: Evidence from the California Reform By Bobby W. Chung
  6. The effects of deferred action for childhood arrivals on labor market outcomes. By Tran, Nhan
  7. Taxation and Mobility: Evidence from Tax Decentralization in Italy By Enrico Rubolino; Tommaso Giommoni
  8. Zero-Sum Thinking and the Roots of U.S. Political Divides By Sahil Chinoy; Nathan Nunn; Sandra Sequeira; Stefanie Stantcheva

  1. By: Cansu Oymak (Lancaster University, Economics Department, United Kingdom); Jean-François Maystadt (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES))
    Abstract: Following the most dramatic migration episode of the 21st century, Turkey hosted the largest number of Syrian refugees in the world. This paper assesses the impact of the arrival of Syrian refugees on the Turkish children’s health, with a focus on height – a standard nutritional outcome. Accounting for the endogenous choice of immigrant location, our results show that Turkish children residing in provinces with a large share of refugees exhibit a significant improvement in their height as compared to those living in provinces with less refugees. Against other potential channels, a refugee-induced increase in maternal unemployment and the associated increase in maternal care seem to explain the observed positive effect on children’s health.
    Keywords: refugees, child health, anthropometric measures, labor market outcomes
    JEL: O15 I15
    Date: 2023–09–12
  2. By: Łukasz Byra (University of Warsaw, Faculty of Economic Sciences)
    Abstract: This paper provides two possible explanations for the mixed evidence regarding migration by low-skilled workers to generous welfare states. Using a model of unrestricted migration to a developed, destination country, which provides a direct and equal social benefit to all its residents, we study the impact of the benefit in a country on the size of its low-skilled immigrant population under the assumption that migration is driven by an international difference in returns to skills, employment opportunities in the destination country, and by the generosity of the benefit in that country. We find that the social benefit affects the size of the country’s low-skilled immigrant population not only directly, via the difference between the benefit and its cost in the form of taxation, but also via two indirect channels. The benefit incentivizes taking up low-skilled jobs among the destination country’s native residents, which adversely affects wages of low-skilled workers in that country, and it increases the risk of unemployment of low-skilled workers therein. Prospective low-skilled migrants view these side effects of the benefit as “stay away” factors. Simulation of the model based on 2018 data for EU-15 economies without Luxembourg highlights the importance of indirect channels in curtailing the inflow of low-skilled migrants to a generous welfare state. When only direct channels are accounted for, semi-elasticities of the size of the low-skilled immigrant population with respect to the social benefit are between 0.2 and 0.54. When indirect channels are allowed to play their roles, the positive relationship between the social benefit and low-skilled immigration is significantly reduced; the semi-elasticities range from 0.13 to 0.4. At the level of the model’s fundamentals, the variation in semi-elasticities between EU-15 countries is largely explained by differences in the size of the welfare state and in efficiency of the labor market across these countries.
    Keywords: Welfare migration, Migration by low-skilled workers, Skill formation in a destination country, Unemployment in a destination country
    JEL: F22 H31 J24 J64
    Date: 2023
  3. By: OECD
    Abstract: Produced as part of the OECD Global Action “Promoting Social and Solidarity Economy Ecosystems” funded by the European Union, this paper explores the role of the social and solidarity economy (SSE) in implementing and complementing public systems for refugee protection, reception and integration. In particular, it reviews the different activities SSE entities can deploy in support of forcibly displaced populations, asylum seekers and refugees, along their journey from origin through to destination countries. Finally, it offers some policy considerations on how the SSE can help national and local governments identify win-win solutions for refugee and host communities.
    Keywords: asylum seekers, cooperative, forced displacement, local development, non profit, refugees, social and solidarity economy, social economy, social enterprise, social entrepreneurship, social innovation
    JEL: F22 J15 J61 L33 L31
    Date: 2023–10–04
  4. By: Anthony Edo; Cem Özgüzel
    Abstract: This paper provides the first evidence on the regional impact of immigration on native employment in a cross-country framework. We show that the rise in the share of immigrants across European regions over the 2010-2019 period had a modest impact on the employment-to-population rate of natives. However, the effects are highly uneven across regions and workers, and over time. First, the short-run estimates show adverse employment effects in response to immigration, while these effects disappear in the longer run. Second, low-educated native workers experience employment losses due to immigration, whereas high-educated ones are more likely to experience employment gains. Third, the presence of institutions that provide employment protection and high coverage of collective wage agreements exert a protective effect on native employment. Finally, economically dynamic regions can better absorb immigrant workers, resulting in little or no effect on the native workforce.
    Keywords: Immigration;Employment;Labour Supply;Employment Dynamics
    JEL: F22 J21 J61
    Date: 2023–09
  5. By: Bobby W. Chung (University of South Florida)
    Abstract: In 2014, California lifted legal work status requirement for dozens of occupational licenses - a major obstacle for undocumented immigrants in the US to access professional jobs. This paper assesses its effects on the employment outcome of undocumented immigrants in California. Analysing likely undocumented immigrants in the American Community Survey, I find that the law increased their employment, particularly in lower-skill or blue-collar licensed occupations, and older or Hispanic workers. I also find the law did not crowd out documented or domestic workers.
    Keywords: Occupational licensing, Undocumented immigrants, Employment
    JEL: J15 J44 K37
    Date: 2023–10
  6. By: Tran, Nhan
    Abstract: I study the effects of the Deferred Action for Childhood Arrivals program (DACA) on labor market outcomes among potentially eligible immigrants. DACA allowed undocumented immigrants to participate in the labor market without fear of deportation, which might be expected to increase the probability of working and allowing workers to move to higher-skilled occupations. However, using a regression discontinuity design, I find very little to no effects on the probability of working and the likelihood of working in high skilled jobs among DACA-eligible immigrants. The confidence intervals permit modest effects on these variables, but rule out large ones. Overall, my results suggest that temporary legal status had limited effects for DACA-eligible individuals.
    Keywords: DACA, undocumented immigrants, labor market outcomes
    JEL: J01 J1 J15 J2 J24
    Date: 2023–09–06
  7. By: Enrico Rubolino; Tommaso Giommoni
    Abstract: We study the impact of taxation on the location choices of individuals and tax bases in Italy. We exploit some recent tax decentralization reforms, which granted regions and municipalities greater power in setting income tax rates across brackets. Combining granular micro-level data on tax residence transfers with tax rate variations both within and across locations, we show that taxation significantly shapes location decisions. The mobility response greatly varies across the income distribution, with higher responsiveness among top incomes. Yet, our estimates imply that revenue losses due to tax-induced mobility are small, making local redistribution feasible at least over the medium-run.
    Keywords: local income taxation, migration, tax decentralization
    JEL: H24 H71 J61
    Date: 2023
  8. By: Sahil Chinoy; Nathan Nunn; Sandra Sequeira; Stefanie Stantcheva
    Abstract: We investigate the origins and implications of zero-sum thinking – the belief that gains for one individual or group tend to come at the cost of others. Using a new survey of a representative sample of 20, 400 US residents, we measure zero-sum thinking, political preferences, policy views, and a rich array of ancestral information spanning four generations. We find that a more zero-sum mindset is strongly associated with more support for government redistribution, race- and gender-based affirmative action, and more restrictive immigration policies. Furthermore, zero-sum thinking can be traced back to the experiences of both the individual and their ancestors, encompassing factors such as the degree of intergenerational upward mobility they experienced, whether they immigrated to the United States or lived in a location with more immigrants, and whether they were enslaved or lived in a location with more enslavement.
    JEL: N10 P0
    Date: 2023–09

This nep-mig issue is ©2023 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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