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on Economics of Human Migration |
| By: | Schiff, Maurice |
| Abstract: | Ability drain's (𝐴𝐷) impact on host countries is significant: 30 percent of US Nobel laureates since 1906 are immigrants, and they or their children founded 40 percent of Fortune 500 companies. The article first provides a detailed description of the multiple home country benefits generated by the brain and ability drains. Second, as brain drain (𝐵𝐷) and gain (𝐵𝐺) have been studied extensively while 𝐴𝐷 has not, I examine migration's impact on ability (𝑎) as well as on education (ℎ) and productive human capital 𝑠 = 𝑠(𝑎, ℎ), both for home country residents and skilled migrants, under the 'vetting' immigration system (e.g., US H-1B program), which accounts for 𝑠. Findings are: i) Education increases with ability; ii) Migration reduces (raises) home country residents' (migrants') average ability, with an ambiguous (positive) impact on the average level of ℎ and 𝑠; thus, migrants' average ability and education is higher than that of non-migrants; iii) These effects increase with inequality in ability's distribution; iv) The model and empirical studies suggest that 𝐴𝐷 ≥ 𝐵𝐷 for educated US immigrants from 42 developing countries, with an average real income about twice their home country income; v) A net drain or decline in average 𝑠 holds for any net 𝐵𝐷 (𝑁𝐵𝐷 = 𝐵𝐷 − 𝐵𝐺), and for an 𝐴𝐷 that is a fraction of our estimate. Thus, in order to correctly assess the impact of skilled migration, home and host countries' policymakers need to incorporate its effect on average ability in the analysis. |
| Keywords: | Migration, points system, vetting system, ability drain, brain drain, brain gain |
| JEL: | F22 J24 J61 O15 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:glodps:1478 |
| By: | Caroline Krafft; Ragui Assaad; Jackline Wahba |
| Abstract: | As of 2022, Sudan was home to 1.1 million refugees and 3.7 million internally displaced persons(IDPs), along with a substantial population that had previously experienced displacement. TheSudan Labor Market Panel Survey (SLMPS) 2022 over-sampled locations hosting the displacedin order to facilitate research on refugees and IDPs. This paper investigates the geographicdistribution of the displaced, their demographics, their labor market and socioeconomic statusand outcomes, and their education, health, food security outcomes. It also reviews theirexperiences of shocks, their coping strategies, and the types of social assistance they receive.Important distinctions are made between current and returned IDPs and refugees and theiroutcomes are compared to those of Sudanese who were never displaced. Analyses also exploredifferences by location of residence (in host communities and camps), by sex, and acrossdifferent age groups. |
| Keywords: | demographics, displacement, education, health, internally displaced persons, labor, refugees, sudan |
| JEL: | F22 I14 I24 J11 J21 O15 R23 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:hic:wpaper:413 |
| By: | Nocito, Samuel (Sapienza University of Rome); Venturini, Alessandra (University of Turin) |
| Abstract: | This study evaluates the effect of a financial education program on migrants, emphasizing the importance of inter-institutional cooperation. The Italian case study, the "Welcome-ED" project—a partnership between the Municipality of Turin and the Turin Museum of Savings (MoS)—aimed to provide tailored financial education to diverse migrant groups, relying on cooperation with various local migration center entities: cooperatives, non-profit associations, and provincial centers for adult education. Our evaluation reveals a significant positive increase in migrants' financial literacy after participating in the project. Furthermore, when we redefine the MoS evaluation criteria employing a model from Item Response Theory (IRT), we document that the post-course migrants' greatest improvement was in the topic identified as most difficult by the IRT model. The study documents variations in the project's results, with migrants from cooperatives and non-profit associations benefiting more than those from provincial centers for adult education, primarily due to the different compositions of the migrant groups served. Our findings also highlight the significance of financial education for African migrants, a substantial part of migrants in Europe. The program evaluation underscores the essential role of cooperation between public and private institutions, cooperatives, and non-profit associations in expanding the reach and effectiveness of financial education projects for migrants. We finally emphasize the strengths and limitations of the program, providing recommendations for future enhancement of similar initiatives. |
| Keywords: | migrants, institutions, cooperatives, non-profit, financial literacy |
| JEL: | D14 L30 J15 P13 |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp17214 |
| By: | Salla Kalin; Antoine B. Levy; Mathilde Muñoz |
| Abstract: | This paper investigates whether and why pensioners move across borders in response to tax rate differentials. In 2013, retirees relocating to Portugal became eligible to a full tax exemption of foreign-source pensions. Contrary to the broadly held belief that seniors "age in place", we find substantial international mobility responses to the reform, concentrated among wealthy and educated pensioners in higher-tax origin countries. The implied migration elasticity of the stock of foreign pensioners to the net-of-tax rate is large (between 1.5 and 2) and increases at longer horizons. Tax-induced retirement migration clusters in space, and exhibits amplification and hysteresis patterns consistent with agglomeration through endogenous amenities. We show such forces theoretically and empirically have significant implications for optimal tax rates, and for the limited efficacy of unilateral policy responses to tax competition, like the source-based taxation of pensions. |
| JEL: | H21 H31 R12 |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:nbr:nberwo:32890 |
| By: | Mattia Filomena (Department of Economics and Social Sciences, Marche Polytechnic University); Matteo Picchio (Department of Economics and Social Sciences, Marche Polytechnic University); Alessia Lo Turco (Department of Economics and Social Sciences, Universita' Politecnica delle Marche (UNIVPM)) |
| Abstract: | We study the effects of globalization on workplace accidents in the Italian manufacturing sector from 2008 to 2019. We focus on both the local intensity of import exposure to China and the share of foreign-born residents. To handle potential endogeneity concerns, we instrument the import exposure to China with that of other high-income countries and local immigration exposure with historical co-national local settlements. Our findings highlight a worsening of workplace safety following an increase in import competition, especially for male workers. An inspection of the channels suggests that the effect works through an increasing workload. |
| Keywords: | Workplace injuries, globalization, import competition, immigration, shift-share instruments. |
| JEL: | F16 I1 J28 J61 R11 |
| Date: | 2024–09 |
| URL: | https://d.repec.org/n?u=RePEc:anc:wpaper:488 |