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The unintended consequences of migration policy on origin-country labor market decisions

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  • Theoharides, Caroline

Abstract

Due to concerns about human trafficking, Japan restricted the flow of Filipino migrants into performing arts jobs, effectively closing the Philippines' largest migration channel. I exploit heterogeneity in the impact of this migration restriction across the Philippines to examine the effect of circular migration on sending-country labor markets. I find a lack of fungibility in migration opportunities such that the restriction decreased migration from areas that sent entertainers to Japan. Labor force participation increased, income declined, and child labor increased. I document spillover effects to other migration opportunities, such that migration declines by more than the number of restricted entertainers.

Suggested Citation

  • Theoharides, Caroline, 2020. "The unintended consequences of migration policy on origin-country labor market decisions," Journal of Development Economics, Elsevier, vol. 142(C).
    • Handle: RePEc:eee:deveco:v:142:y:2020:i:c:s0304387818310307
    DOI: 10.1016/j.jdeveco.2018.07.012
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    References listed on IDEAS

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    Cited by:

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    2. Rabia Arif & Theresa Thompson Chaudhry & Azam Amjad Chaudhry, 2023. "Emigration’s Heterogeneous Impact on Children’s Wellbeing in Punjab, Pakistan," Child Indicators Research, Springer;The International Society of Child Indicators (ISCI), vol. 16(3), pages 1251-1295, June.
    3. R.D. Mariani & F. C. Rosati, 2022. "Immigrant supply of marketable child care and native fertility in Italy," JODE - Journal of Demographic Economics, Cambridge University Press, vol. 88(4), pages 503-533, December.
    4. Alix-Garcia, Jennifer & Walker, Sarah & Bartlett, Anne, 2019. "Assessing the direct and spillover effects of shocks to refugee remittances," World Development, Elsevier, vol. 121(C), pages 63-74.
    5. Barker, Nathan & Davis, C. Austin & López-Peña, Paula & Mitchell, Harrison & Mobarak, Ahmed Mushfiq & Naguib, Karim & Reimão, Maira Emy & Shenoy, Ashish & Vernot, Corey, 2023. "Migration and resilience during a global crisis," European Economic Review, Elsevier, vol. 158(C).
    6. Toman Barsbai & Vojtěch Bartoš & Victoria Licuanan & Andreas Steinmayr & Erwin Tiongson & Dean Yang, 2022. "Picture This: Social Distance and the Mistreatment of Migrant Workers," Working Papers 2022-17, Faculty of Economics and Statistics, Universität Innsbruck.
    7. Narcisse Cha'Ngom & Christoph Deuster & Frédéric Docquier & Joël Machado, 2023. "Selective Migration and Economic Development: A Generalized Approach," LISER Working Paper Series 2023-06, Luxembourg Institute of Socio-Economic Research (LISER).
    8. Andrea Cinque & Lennart Reiners, 2022. "Confined to Stay: Natural Disasters and Indonesia's Migration Ban," CESifo Working Paper Series 9837, CESifo.
    9. Hyejin Kim & Jongkwan Lee, 2023. "Task specialization and low‐skilled immigration in a highly educated country: Evidence from Korea," Southern Economic Journal, John Wiley & Sons, vol. 89(4), pages 1078-1101, April.
    10. Alfiya Kuznetsova & Aigul Selezneva & Radmir Iksanov & Flyuza Tukayeva, 2022. "Trends of Migration Transformations in the Countries of the European Union and the Russian Federation: Identification of Predictors of Migration Processes in the Context of Migration Policy and Public," Public Organization Review, Springer, vol. 22(4), pages 1173-1189, December.
    11. Cosimo Beverelli, 2022. "Pull factors for migration: The impact of migrant integration policies," Economics and Politics, Wiley Blackwell, vol. 34(1), pages 171-191, March.

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    More about this item

    Keywords

    Migration; Labor markets; Philippines;
    All these keywords.

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances

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