Wealth constraints, skill prices or networks: what determines emigrant selection?
AbstractThe productive characteristics of migrating individuals, emigrant selection, affect welfare. The empirical estimation of the degree of selection suffers from a lack of complete and nationally representative data. This paper uses a new and better dataset to address both issues: the ENET (Mexican Labor Survey), which identifies emigrants right before they leave and allows a direct comparison to non-migrants. This dataset presents a relevant dichotomy: it shows on average negative selection for Mexican emigrants to the United States for the period 2000-2004 together with positive selection in Mexican emigration out of rural Mexico to the United States in the same period. Three theories that could explain this dichotomy are tested. Whereas higher skill prices in Mexico than in the US are enough to explain negative selection in urban Mexico, its combination with network effects and wealth constraints is required to account for positive selection in rural Mexico.
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Bibliographic InfoPaper provided by Barcelona Graduate School of Economics in its series Working Papers with number 346.
Date of creation: Mar 2008
Date of revision:
international migration; selection; wealth constraints; household survey;
Other versions of this item:
- Jesús Fernández-Huertas Moraga, 2008. "Wealth Constraints, Skill Prices or Networks: What Determines Emigrant Selection?," UFAE and IAE Working Papers 741.08, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- F22 - International Economics - - International Factor Movements and International Business - - - International Migration
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- D33 - Microeconomics - - Distribution - - - Factor Income Distribution
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