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on Economics of Human Migration |
| By: | Pesola, Hanna Onerva (VATT Institute for Economic Reserach, Helsinki); Sarvimäki, Matti (Aalto University); Virkola, Tuomo (VATT, Helsinki) |
| Abstract: | We document substantial heterogeneity in labor market integration, skill investments, and outmigration across immigrant admission categories. Using newly available data on residence permits in Finland, we establish four facts. First, there are large initial differences in employment and earnings across labor, family, refugee, student, and EU migrants. Second, these differences diminish substantially over time. Third, the groups make distinct investments in country-specific and general skills. Fourth, both the prevalence of and selection into outmigration vary widely across admission categories. These findings align with models where investments in skills depend on the expected length of stay in the host country. |
| Keywords: | integration, immigration |
| JEL: | J61 J31 F22 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18012 |
| By: | Barsegyan, Vardan (Utrecht University); Negash, Samir |
| Abstract: | We study how key aspects of asylum and integration policy affect the long-term economic independence of refugees in the Netherlands. Using administrative data on approximately 95, 000 refugees registered at Dutch reception centres or granted asylum between 2014 and 2023, we analyse the effects of four policy variables - length of stay in reception centres, number of relocations, completion of the civic integration program, and the level of the integration diploma - on the timing of exit from social assistance into employment. Additionally, we analysed data from the first wave of a panel survey of 2, 559 Syrian refugees in the Netherlands. Applying multilevel linear probability discrete-time survival models, we find that prolonged stays in reception centres delay employment for men, particularly those who stay longer than two years, with persistent effects over time. The number of relocations has limited influence, though men who never moved between centres exit assistance more slowly, likely due to selection effects. Completing civic integration strongly accelerates labour market entry for both men and women, with higher-level diplomas (B1/B2) further increasing exit rates. While civic integration appears to support economic inclusion, many refugees still encounter unstable employment. Our findings highlight the long-term implications of integration policies for refugee self-sufficiency and underscore the need for further research on post-integration labour trajectories. |
| Date: | 2025–08–01 |
| URL: | https://d.repec.org/n?u=RePEc:osf:osfxxx:ecjsn_v1 |
| By: | Leonid V. Azarnert |
| Abstract: | I investigate how taxing immigrants and redistributing the collected funds as educational subsidies influence human capital accumulation and growth in the source economy. The analysis is performed in a two-country growth model with endogenous fertility, in which public knowledge spillovers from the more advanced destination economy amplify the productivity of investment in children’s education in the sending country. I demonstrate that, while in the short run, the source economy accumulates more human capital if the subsidies are provided domestically, if the spillover effect is strong enough, in the long run, it can accumulate more human capital if education is subsidized in the destination country. |
| Keywords: | migration, child education, fertility, human capital, growth, brain drain, brain dilution tax |
| JEL: | D30 F22 J10 J13 J24 O15 O40 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_12053 |
| By: | Natalia Montinari; Matteo Ploner; Veronica Rattini |
| Abstract: | Immigration has shaped many nations, posing the challenge of integrating immigrants into society. While economists often focus on immigrants' economic outcomes compared to natives (such as education, labor market success, and health) social interactions between immigrants and natives are equally crucial. These interactions, from everyday exchanges to teamwork, often lack enforceable contracts and require cooperation to avoid conflicts and achieve efficient outcomes. However, socioeconomic, ethnic, and cultural differences can hinder cooperation. Thus, evaluating integration should also consider its impact on fostering cooperation across diverse groups. This paper studies how priming different identity dimensions affects cooperation between immigrant and native youth. Immigrant identity includes both ethnic ties to their country of origin and connections to the host country. We test whether cooperation improves by making salient a specific identity: Common identity (shared society), Multicultural identity (ethnic group within society), or Neutral identity. In a lab in the field experiment with over 390 adolescents, participants were randomly assigned to one of these priming conditions and played a Public Good Game. Results show that immigrants are 13 percent more cooperative than natives at baseline. Natives increase cooperation by about 3 percentage points when their multicultural identity is primed, closing the initial gap with immigrant peers. |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2507.02511 |
| By: | Britos, Braulio; Hernandez, Manuel A.; Trupkin, Danilo R. |
| Abstract: | International migration is a recurrent phenomenon that has grown rapidly over the past two decades. This paper examines the role of agricultural distortions in shaping emigration patterns and influencing productivity and welfare in developing countries, using Guatemala as a case study. We develop a theoretical framework where household members can work in agriculture, non-agriculture, or emigrate, and calibrate the model combining detailed micro and aggregate data. Our model identifies two key channels through which agricultural distortions affect migration and productivity: a first channel where distortions increase emigration among more productive agents, reducing aggregate productivity, and a second channel where distortions drive factor misallocation, lowering incomes and increasing overall emigration. |
| Keywords: | Agricultura, Migración, |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:dbl:dblwop:2502 |
| By: | Etienne Bacher; Michel Beine; Hillel Rapoport |
| Abstract: | We investigate the effect of anti-immigration attitudes on immigration plans to Europe. We propose a new instrument for attitudes toward immigration, namely, the number of country nationals killed in terrorist attacks taking place outside of Europe. Our first-stage results confirm that such terrorist attacks increase negative attitudes to immigration in the origin country of the victims. Our second-stage results then show that this higher hostility toward migrants decreases the attractiveness of the country for prospective immigrants at all skill levels. |
| Keywords: | immigration, terrorism, anti-immigration attitudes |
| JEL: | C1 F2 J1 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_12003 |
| By: | Xinyu Li |
| Abstract: | In 2025, intensified Immigration and Customs Enforcement (ICE) raids in Oxnard, California, disrupted the state's \$49 billion agricultural industry, a critical supplier of 75% of U.S. fruits and nuts and one-third of its vegetables. This paper quantifies the economic consequences of these raids on labor markets, crop production, and food prices using econometric modeling. We estimate a 20-40% reduction in the agricultural workforce, leading to \$3-7 billion in crop losses and a 5-12% increase in produce prices. The analysis draws on USDA Economic Research Service data and recent ICE detention figures, which show arrests in Southern California rising from 699 in May to nearly 2, 000 in June 2025. The raids disproportionately affect labor-intensive crops like strawberries, exacerbating supply chain disruptions. Policy recommendations include expanding the H-2A visa program and legalizing undocumented workers to stabilize the sector. This study contributes to agricultural economics by providing a data-driven assessment of immigration enforcement's economic toll. |
| Date: | 2025–08 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2508.03787 |
| By: | Bonilla-Mejía, Leonardo (Banco de la República de Colombia); Bracco, Jessica (CEDLAS-UNLP); Ham Gonzalez, Andres (Department of Economics, Universidad de los Andes); Peñaloza-Pacheco, Leonardo (Cornell University) |
| Abstract: | We study how drug-related violence affects emigration from Central America, a region with rapidly rising migration to the United States. Using multiple data sources, we apply an instrumental variables strategy based on proximity to drug-trafficking routes and coca production in Colombia. We find that violence significantly increases intentions, plans, and preparations to emigrate—especially to the U.S.—with stronger effects among young and high-skilled individuals. Mediation analysis suggests this response is driven by declining economic activity and, more importantly, deteriorating labor market conditions caused by escalating violence. |
| Keywords: | drug trafficking, violence, economic activity, labor markets, migration |
| JEL: | J61 O15 N96 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18028 |