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Selection or Network Effects? Migration Flows into 27 OECD Countries, 1990-2000

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Author Info
Pedersen, Peder J. (University of Aarhus, CIM, CLS and IZA Bonn)
Pytlikova, Mariola (Aarhus School of Business, CIM)
Smith, Nina () (Aarhus School of Business, CIM, DIW Berlin and IZA Bonn)

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Abstract

Recent migration patterns show growing migration pressure and changing composition of immigrants in many Western countries. During the latest decade, an increasing proportion of the OECD immigrants have been from poor countries, where the educational level of the population is low. The migration patterns may be affected by the relatively generous welfare schemes in most OECD countries, but also network effects and migration policy changes may be important factors behind the observed development. This paper presents empirical evidence on immigration flows into 27 OECD countries during a period of 11 years, 1990– 2000. Using a panel data model, we analyze the determinants of the migration flows. Our results indicate that traditional factors as cultural and linguistic distance are important. Network effects are also strong, but vary between source and destination countries. We do not find clear evidence that selection effects have had a major influence on the observed migration patterns until now. This may partly be explained by restrictive migration policies in many OECD countries which may have dampened the potential selection effects.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1104.

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Length: 49 pages
Date of creation: Apr 2004
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Handle: RePEc:iza:izadps:dp1104

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Related research
Keywords: international migration; selectivity effects; network effects; migration policy;

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Find related papers by JEL classification:
J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
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

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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.:
  1. Pedersen, Peder J. & Smith, Nina, 2001. "International Migration and Migration policy in Denmark," CLS Working Papers 01-5, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research. [Downloadable!]
  2. Mincer, Jacob, 1978. "Family Migration Decisions," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 749-73, October. [Downloadable!] (restricted)
  3. Timothy Hatton & Jeffery Williamson, 2002. "What Fundamentals Drive World Migration?," CEPR Discussion Papers 458, Centre for Economic Policy Research, Research School of Social Sciences, Australian National University. [Downloadable!]
    Other versions:
  4. Chiswick, Barry R. & Hatton, Timothy J., 2002. "International Migration and the Integration of Labor Markets," IZA Discussion Papers 559, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  5. Ira N. Gang & Thomas Bauer & Gil S. Epstein, 2002. "Herd Effects or Migration Networks? The Location Choice of Mexican Immigrants in the U.S," Departmental Working Papers 200216, Rutgers University, Department of Economics. [Downloadable!]
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  6. Epstein, Gil S, 2002. "Informational Cascades and Decision to Migrate," CEPR Discussion Papers 3287, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  7. Chiswick, Barry R, 1986. "Is the New Immigration Less Skilled Than the Old?," Journal of Labor Economics, University of Chicago Press, vol. 4(2), pages 168-92, April. [Downloadable!] (restricted)
  8. Axel Heitmueller, 2006. "Coordination Failures In Network Migration," Manchester School, University of Manchester, vol. 74(6), pages 701-710, December. [Downloadable!] (restricted)
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  9. Robert Kaestner & Neeraj Kaushal & Gregg Van Ryzin, 2001. "Migration Consequences of Welfare Reform," NBER Working Papers 8560, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  10. Daniel Chiquiar & Gordon H. Hanson, 2002. "International Migration, Self-Selection, and the Distribution of Wages: Evidence from Mexico and the United States," NBER Working Papers 9242, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  11. Enchautegui, Maria E, 1997. "Welfare Payments and Other Economic Determinants of Female Migration," Journal of Labor Economics, University of Chicago Press, vol. 15(3), pages 529-54, July. [Downloadable!] (restricted)
  12. Fertig, Michael & Schmidt, Christoph M., 2000. "Aggregate-Level Migration Studies as a Tool for Forecasting Future Migration Streams," IZA Discussion Papers 183, Institute for the Study of Labor (IZA). [Downloadable!]
  13. Richard Jackman & S Savouri, 1991. "Regional Migration in Britain: An Analysis of Gross Flows using NHS Central Register Data," CEP Discussion Papers dp0027, Centre for Economic Performance, LSE.
  14. Jasso, Guillermina & Rosenzweig, Mark R, 1990. "Self-Selection and the Earnings of Immigrants: Comment," American Economic Review, American Economic Association, vol. 80(1), pages 298-304, March.
  15. 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)
  16. Riphahn, Regina, 1999. "Immigrant Participation in Social Assistance Programs: Evidence from German Guestworkers," CEPR Discussion Papers 2318, C.E.P.R. Discussion Papers. [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. Chiswick, Barry R., 2000. "Are Immigrants Favorably Self-Selected? An Economic Analysis," IZA Discussion Papers 131, Institute for the Study of Labor (IZA). [Downloadable!]
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  19. Kjetil Storesletten, 2003. "Fiscal Implications of Immigration-A Net Present Value Calculation," Scandinavian Journal of Economics, Blackwell Publishing, vol. 105(3), pages 487-506, 09. [Downloadable!] (restricted)
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  20. Bruce D. Meyer, 1998. "Do the Poor Move to Receive Higher Welfare Benefits?," JCPR Working Papers 58, Northwestern University/University of Chicago Joint Center for Poverty Research.
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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. Wido Geis & Silke Uebelmesser & Martin Werding, 2008. "Why go to France or Germany, if you could as well go to the UK or the US? Selective Features of Immigration to four major OECD Countries," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
  2. Rob Euwals & Jaco Dagevos & Mérove Gijsberts & Hans Roodenburg, 2007. "Immigration, Integration and the Labour Market: Turkish Immigrants in Germany and the Netherlands," IZA Discussion Papers 2677, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Blanchflower, David G. & Lawton, Helen, 2008. "The Impact of the Recent Expansion of the EU on the UK Labour Market," IZA Discussion Papers 3695, Institute for the Study of Labor (IZA). [Downloadable!]
  4. Rob Euwals & Jaco Dagevos & Mérove Gijsberts & Hans Roodenburg, 2006. "Immigration, Integration and the Labour Market," CPB Discussion Papers 75, CPB Netherlands Bureau for Economic Policy Analysis. [Downloadable!]
  5. Anna Maria Mayda, 2007. "International migration: A panel data analysis of the determinants of bilateral flows," CReAM Discussion Paper Series 0707, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
    Other versions:
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