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on Economics of Human Migration |
| By: | Bassetto, Jacopo (University of Bologna); Ippedico, Giuseppe (University of Nottingham) |
| Abstract: | Brain drain is a key policy concern for many countries. In this paper we study whether tax incentives are an effective policy to attract high-skilled expatriates back to their home country, exploiting a generous income tax break for Italian returnees. Using administrative data and a Triple Differences design, we find that eligible individuals are 27% more likely to return to Italy. Additionally, we uncover significant effects throughout the wage distribution, revealing that tax-induced migration is a broad phenomenon beyond top earners. A cost-benefit analysis shows that the tax scheme can pay for itself by targeting young high-skilled individuals. |
| Keywords: | brain drain, tax incentives, return migration, personal income tax |
| JEL: | F22 H24 H31 J61 |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp17224 |
| By: | Cevat Giray Aksoy (European Bank for Reconstruction and Development (EBRD), King’s College London); Barry Eichengreen (University of California, Berkeley); Anastasia Litina (Department of Economics, University of Macedonia); Cem Özgüzel (Organisation for Economic Co-operation and Development (OECD) a); Chan Yu (University of International Business and Economics) |
| Abstract: | Scholars and politicians have expressed concern that immigrants from countries with low levels of political trust transfer those attitudes to their destination countries. Using large-scale survey data covering 38 countries and exploiting origin-country variation across different cohorts and surveys, we show that, to the contrary, immigrants more exposed to institutional corruption before migrating exhibit higher levels of political trust in their new country. Higher trust is observed for national political institutions only and does not carry over to other supra-national institutions and individuals. We report evidence that higher levels of political trust among immigrants persist, leading to greater electoral participation and political engagement in the long run. The impact of home-country corruption on political trust in the destination country is further amplified by large differences in levels of income and democracy between home and host countries, which serve to highlight the contrast in the two settings. It is lessened by exposure to media, a source of independent information about institutional quality. Finally, our extensive analyses indicate that self-selection into host countries based on trust is highly unlikely and the results also hold when focusing only on forced migrants who were unlikely to have been subject to selection. |
| Keywords: | Corruption, Institutions, Immigrants, Political Trust |
| JEL: | Z1 D73 |
| Date: | 2024–06 |
| URL: | https://d.repec.org/n?u=RePEc:mcd:mcddps:2024_08 |
| By: | Turati, Riccardo |
| Abstract: | This paper analyzes whether natives with a network abroad have a distinctive cultural stance compared to similar individuals without such connections within the same region. Using individual-level data on connectedness from the Gallup World Poll across 2, 256 within-country regions over 148 countries, it characterizes the cultural stance based on three traits: pro-social behavior, religiosity and gender-egalitarian attitudes. The paper shows that natives who have a connection abroad are characterized by stronger pro-social behavior, religiosity and genderegalitarian attitudes. To address potential biases arising from omitted variables, it controls for an extensive array of individual characteristics and region-by-year fixed effects. The results are also consistent after employing comprehensive measures of connectedness, employing matching techniques, and assessing selection biases related to unobservable factors. Finally, by leveraging both country and individual-level heterogeneity, the analysis indicates that the pro-social behavior stance of connected individuals is fairly consistent across different contexts and individuals, while the findings on religiosity and gender-egalitarian attitudes are more sensitive to local and individual factors. The paper therefore shows that factors enhancing or dampening this relation are cultural trait specific. |
| Keywords: | Cultural traits, Connectedness, Network, Social Remittances, International Migration |
| JEL: | F22 O15 Z10 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:glodps:1488 |
| By: | Koski, Heli |
| Abstract: | Abstract The data on Finnish patent applications filed at the European Patent Office and the United States Patent and Trademark Office between 2011 and 2021 indicate that foreign inventors and international collaboration have been crucial to Finland’s technological development. Throughout the 2010s, Finnish patent applications have included inventors from 68 different countries, and the share of foreign inventors has steadily increased over this period. In 2021, 60 percent of the patent applications filed involved foreign inventors, with over one-fifth featuring collaboration between both Finnish and foreign inventors. The United States has been Finland’s most important innovation partner, while Germany, Sweden, and China have also played significant roles in the development of patented ideas. When analyzed by technology sector, foreign and internationally based inventors are particularly prominent in ICT-related patent applications. Immigrant inventors contributed to more than one-fifth of ICT patent filings during the review period. In other technology sectors, the involvement of immigrant inventors has also grown, with their share of USPTO patent applications rising from 9 percent to 17 percent, and from 18 percent to 23 percent in EPO applications. |
| Keywords: | Innovations, Patents, Innovation collaboration, Inventors, Immigration |
| JEL: | D23 F22 J61 O3 |
| Date: | 2024–09–12 |
| URL: | https://d.repec.org/n?u=RePEc:rif:briefs:138 |
| By: | Despina Gavresi (DEM, University of Luxembourg); Anastasia Litina (Department of Economics, University of Macedonia) |
| Abstract: | This paper establishes population aging as a driving force of populism in a multilevel regression analysis of individuals living in European countries over the period 2002-2019. The focus is on the effect of ``aggregate'' population aging as opposed to individual aging. Populism expressed as populist attitudes is measured with individual-level data of nine consecutive rounds of the European Social Survey. We use data on voting for populist parties, political trust, and attitudes towards immigration. Our findings suggest an association of population aging with a declining electoral turnout, a higher support for populist parties, lower trust in political institutions, and a rise in anti-immigrant hostility. These effects are observed across both young and elderly voters. |
| Keywords: | Population Aging, Populist Voting, Immigrant Attitudes, Trust |
| JEL: | D72 J10 P00 Z13 |
| Date: | 2024–06 |
| URL: | https://d.repec.org/n?u=RePEc:mcd:mcddps:2024_07 |