Advanced Search
MyIDEAS: Login to save this paper or follow this series

The dynamic implications of liberalizing global migration

Contents:

Author Info

  • Marco DELOGU

    ()
    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) and University of Luxemburg)

  • Frédéric DOCQUIER

    ()
    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) and FNRS, National Fund for Scientific Research)

  • Joël MACHADO

    ()
    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES))

Abstract

This paper quantitatively investigates the short- and long-run effects of liberalizing global migration on the world distribution of income. We develop and parametrize a dynamic model of the world economy with endogenous migration, fertility and education decisions. We identify bilateral migration costs and their legal component for each pair of countries and two classes of worker. Our analysis reveals that the effects of a liberalization on human capital accumulation, income and inequality are gradual and cumulative. In case of a complete liberalization, the world average level of GDP per worker increases by 20 percent in the short-run, and by more than 55 percent after 50 years. The world average index of inequality decreases and the liberalization path has stochastic dominance over the Baseline-As-Usual. These results are very robust to our identifying assumptions. We also analyze partial liberalization shocks: effi ciency and inequality e¤ects are roughly proportional to the "liberalization rate".

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://sites.uclouvain.be/econ/DP/IRES/2013029.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES) in its series Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) with number 2013029.

as in new window
Length: 39
Date of creation: 15 Nov 2013
Date of revision:
Handle: RePEc:ctl:louvir:2013029

Contact details of provider:
Postal: Place Montesquieu 3, 1348 Louvain-la-Neuve (Belgium)
Fax: +32 10473945
Email:
Web page: http://www.uclouvain.be/ires
More information through EDIRC

Related research

Keywords: Migration; Migration policy; Liberalization; Growth; Human Capital; Fertility; Inequality;

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
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.:
as in new window
  1. Pritchett, Lant, 1995. "Divergence, big time," Policy Research Working Paper Series 1522, The World Bank.
  2. Antonio Ciccone & Robert E. Hall, 1995. "Productivity and the density of economic activity," Economics Working Papers 120, Department of Economics and Business, Universitat Pompeu Fabra.
  3. Kaufmann, Daniel & Kraay, Aart & Mastruzzi, Massimo, 2009. "Governance matters VIII : aggregate and individual governance indicators 1996-2008," Policy Research Working Paper Series 4978, The World Bank.
  4. Bollard, Albert & McKenzie, David & Morten, Melanie & Rapoport, Hillel, 2009. "Remittances and the brain drain revisited : the microdata show that more educated migrants remit more," Policy Research Working Paper Series 5113, The World Bank.
  5. John Kennan, 2013. "Open Borders," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 16(2), pages L1-L13, April.
  6. Alessandra Fogli & Raquel Fernandez, 2005. "Culture: An Empirical Investigation of Beliefs, Work, and Fertility," Working Papers 05-07, New York University, Leonard N. Stern School of Business, Department of Economics.
  7. Frédéric Docquier & B. Lindsay Lowell & Abdeslam Marfouk, 2009. "A Gendered Assessment of Highly Skilled Emigration," Population and Development Review, The Population Council, Inc., vol. 35(2), pages 297-321.
  8. Frédéric DOCQUIER & Tobias MÜLLER & Joaquín NAVAL, 2013. "Informality and long-run growth," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2013034, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  9. Michael A. Clemens, 2011. "Economics and Emigration: Trillion-Dollar Bills on the Sidewalk?," Journal of Economic Perspectives, American Economic Association, vol. 25(3), pages 83-106, Summer.
  10. Frédéric Docquier & Hillel Rapoport, 2011. "Globalization, Brain Drain and Development," Working Papers 2011-18, Department of Economics, Bar-Ilan University.
  11. David de la Croix & Axel Gosseries, 2009. "Population Policy Through Tradable Procreation Entitlements," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 50(2), pages 507-542, 05.
  12. Iranzo, Susana & Peri, Giovanni, 2009. "Migration and trade: Theory with an Application to the Eastern- Western European Integration," Working Papers 2072/42865, Universitat Rovira i Virgili, Department of Economics.
  13. Barro, Robert J. & Lee, Jong Wha, 2013. "A new data set of educational attainment in the world, 1950–2010," Journal of Development Economics, Elsevier, vol. 104(C), pages 184-198.
  14. Frédéric DOCQUIER & Joël MACHADO & Khalid SEKKAT, 2012. "Efficiency gains from liberalizing labor mobility," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2012023, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  15. Michel Beine & Frédéric Docquier & Hillel Rapoport, 2001. "Brain drain and economic growth: theory and evidence," ULB Institutional Repository 2013/10449, ULB -- Universite Libre de Bruxelles.
  16. Stark, Oded & Helmenstein, Christian & Prskawetz, Alexia, 1997. "A brain gain with a brain drain," Economics Letters, Elsevier, vol. 55(2), pages 227-234, August.
  17. Cécily Defoort, 2008. "Tendances de long terme des migrations internationales : analyse à partir des six principaux pays receveurs," Population (french edition), Institut National d'Études Démographiques (INED), vol. 63(2), pages 317-351.
  18. Mountford, Andrew & Rapoport, Hillel, 2011. "The brain drain and the world distribution of income," Journal of Development Economics, Elsevier, vol. 95(1), pages 4-17, May.
  19. Michel, BEINE & Frédéric, DOCQUIER & Hillel, RAPOPORT, 2006. "Brain drain and human capital formation in developing countries : winners and losers," Discussion Papers (ECON - Département des Sciences Economiques) 2006023, Université catholique de Louvain, Département des Sciences Economiques.
  20. Xavier Sala-i-Martin, 2006. "The World Distribution of Income: Falling Poverty and ... Convergence, Period," The Quarterly Journal of Economics, MIT Press, vol. 121(2), pages 351-397, May.
  21. Chiswick, Barry R. & Miller, Paul W., 2011. "Negative and Positive Assimilation, Skill Transferability, and Linguistic Distance," IZA Discussion Papers 5420, Institute for the Study of Labor (IZA).
  22. de Palma, Andre & Kilani, Karim, 2007. "Invariance of conditional maximum utility," Journal of Economic Theory, Elsevier, vol. 132(1), pages 137-146, January.
  23. Daniel Chen & Michael Kremer, 1999. "Income-Distribution Dynamics with Endogenous Fertility," American Economic Review, American Economic Association, vol. 89(2), pages 155-160, May.
  24. Moses, Jonathon W. & Letnes, Bjorn, 2004. "The Economic Costs to International Labor Restrictions: Revisiting the Empirical Discussion," World Development, Elsevier, vol. 32(10), pages 1609-1626, October.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:ctl:louvir:2013029. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Anne DAVISTER-LOGIST).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.