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Self-selection patterns in Mexico-U.S. migration: The role of migration networks

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Author Info
David McKenzie () (World Bank, Development Economics Research Group)
Hillel Rapoport () (Department of Economics, Bar-Ilan University, CADRE, Université de Lille 2, and CReAM, University College London)

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Abstract

This paper examines the role of migration networks in determining self-selection patterns of Mexico-U.S. migration. We first present a simple theoretical framework showing how such networks impact on migration incentives at different education levels and, consequently, how they are likely to affect the expected skill composition of migration. Using survey data from Mexico, we then show that the probability of migration is increasing with education in communities with low migrant networks, but decreasing with education in communities with high migrant networks. This is consistent with positive self-selection of migrants being driven by high migration costs, as advocated by Chiquiar and Hanson (2005), and with negative self-selection of migrants being driven by lower returns to education in the U.S. than in Mexico, as advocated by Borjas (1987).

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Publisher Info
Paper provided by Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London in its series CReAM Discussion Paper Series with number 0701.

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Date of creation: Jan 2007
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Handle: RePEc:crm:wpaper:0701

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Related research
Keywords: Migration; migration networks; educational attainments; self-selection; Mexico;

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Find related papers by JEL classification:
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, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Pia M. Orrenius & Madeline Zavodny, 2001. "Self-selection among undocumented immigrants from Mexico," Working Paper 2001-1, Federal Reserve Bank of Atlanta. [Downloadable!]
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  2. Vincenzo Caponi, 2006. "Heterogeneous Human Capital and Migration: Who Migrates from Mexico to the US?," IZA Discussion Papers 2446, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Thomas Bauer & Gil Epstein & Ira Gang, 2005. "Enclaves, language, and the location choice of migrants," Journal of Population Economics, Springer, vol. 18(4), pages 649-662, November. [Downloadable!] (restricted)
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  4. Gordon H. Hanson, 2006. "Illegal Migration from Mexico to the United States," Journal of Economic Literature, American Economic Association, vol. 44(4), pages 869-924, December.
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  5. Woodruff, Christopher & Zenteno, Rene, 2007. "Migration networks and microenterprises in Mexico," Journal of Development Economics, Elsevier, vol. 82(2), pages 509-528, March. [Downloadable!] (restricted)
  6. Bauer, Thomas & Epstein, Gil S & Gang, Ira, 2002. "Herd Effects or Migration Networks? The Location Choice of Mexican Immigrants in the US," CEPR Discussion Papers 3505, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  7. Ravi Kanbur & Hillel Rapoport, 2005. "Migration selectivity and the evolution of spatial inequality," Journal of Economic Geography, Oxford University Press, vol. 5(1), pages 43-57, January. [Downloadable!] (restricted)
  8. Hildebrandt, Nicole & McKenzie, David, 2005. "The effects of migration on child health in Mexico," Policy Research Working Paper Series 3573, The World Bank. [Downloadable!]
  9. Schultz, Theodore W, 1980. "Nobel Lecture: The Economics of Being Poor," Journal of Political Economy, University of Chicago Press, vol. 88(4), pages 639-51, August. [Downloadable!] (restricted)
  10. Kaivan Munshi, 2003. "Networks In The Modern Economy: Mexican Migrants In The U.S. Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 118(2), pages 549-599, May. [Downloadable!] (restricted)
  11. Chiswick, Barry R. & Miller, Paul W., 2002. "Do Enclaves Matter in Immigrant Adjustment?," IZA Discussion Papers 449, Institute for the Study of Labor (IZA). [Downloadable!]
  12. Ai, Chunrong & Norton, Edward C., 2003. "Interaction terms in logit and probit models," Economics Letters, Elsevier, vol. 80(1), pages 123-129, July. [Downloadable!] (restricted)
  13. Mishra, Prachi, 2007. "Emigration and wages in source countries: Evidence from Mexico," Journal of Development Economics, Elsevier, vol. 82(1), pages 180-199, January. [Downloadable!] (restricted)
  14. Carrington, William J & Detragiache, Enrica & Vishwanath, Tara, 1996. "Migration with Endogenous Moving Costs," American Economic Review, American Economic Association, vol. 86(4), pages 909-30, September. [Downloadable!] (restricted)
  15. McKenzie, David & Rapoport, Hillel, 2006. "Can migration reduce educational attainment ? Evidence from Mexico," Policy Research Working Paper Series 3952, The World Bank. [Downloadable!]
  16. Mckenzie, David & Rapoport, Hillel, 2007. "Network effects and the dynamics of migration and inequality: Theory and evidence from Mexico," Journal of Development Economics, Elsevier, vol. 84(1), pages 1-24, September. [Downloadable!] (restricted)
  17. Borjas, George J, 1987. "Self-Selection and the Earnings of Immigrants," American Economic Review, American Economic Association, vol. 77(4), pages 531-53, September. [Downloadable!] (restricted)
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  18. Sherrie A. Kossoudji & Deborah A. Cobb-Clark, 2002. "Coming out of the Shadows: Learning about Legal Status and Wages from the Legalized Population," Journal of Labor Economics, University of Chicago Press, vol. 20(3), pages 598-628, July. [Downloadable!]
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  19. Ernesto López Córdova, 2004. "Globalization, Migration and Development: The Role of Mexican Migrant Remittances," Econometric Society 2004 Latin American Meetings 82, Econometric Society. [Downloadable!]
  20. Benjamin Davis & Paul Winters, 2001. "Gender, networks and Mexico-US migration," The Journal of Development Studies, Taylor and Francis Journals, vol. 38(2), pages 1-26, December. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Michel BEINE & Frederic DOCQUIER & Caglar OZDEN, 2009. "Diasporas," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2009002, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES). [Downloadable!]
    Other versions:
  2. John Gibson & David McKenzie, 2009. "The Microeconomic Determinants of Emigration and Return Migration of the Best and Brightest: Evidence from the Pacific," CReAM Discussion Paper Series 0903, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
    Other versions:
  3. Gould, Eric D & Moav, Omer, 2008. "When is "Too Much" Inequality Not Enough? The Selection of Israeli Emigrants," CEPR Discussion Papers 6955, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  4. Belot, Michèle & Hatton, Timothy J., 2008. "Immigrant Selection in The OECD," CEPR Discussion Papers 6675, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  5. Milo Bianchi & Paolo Buonanno & Paolo Pinotti, 2008. "Immigration and crime: an empirical analysis," Temi di discussione (Economic working papers) 698, Bank of Italy, Economic Research Department. [Downloadable!]
  6. Neagu, Ileana Cristina, 2009. "Career placement of skilled migrants in the U.S. labor market : a dynamic approach," Policy Research Working Paper Series 4891, The World Bank. [Downloadable!]
  7. Dennis Görlich & Christoph Trebesch, 2008. "Seasonal Migration and Networks—Evidence on Moldova’s Labour Exodus," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 144(1), pages 107-133, April. [Downloadable!] (restricted)
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