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Immigration Policies and the Ecuadorian Exodus

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Author Info

  • Bertoli, Simone

    ()
    (CERDI, University of Auvergne)

  • Fernández-Huertas Moraga, Jesús

    ()
    (FEDEA, Madrid)

  • Ortega, Francesc

    ()
    (Queens College, CUNY)

Abstract

Ecuador experienced an unprecedented wave of international migration since the late 1990s, triggered by a severe economic and financial crisis. This paper gathers individual-level data from Ecuador and the two main destinations of Ecuadorian migrants: the US and Spain. First, we provide a careful description of the main characteristics of migration flows, both in terms of their scale and skill composition. Second, we estimate Mincer regressions for Ecuadorians in the three countries, and attempt to reconcile the features of migration flows with our predictions for earnings by destination. We find that earnings differences can account for the higher share of college graduates among migrants to the US, but fail to explain the larger scale of the flows to Spain. We argue that the puzzle is explained by taking into account that (i) the options to migrate legally to either destination were slim, and (ii) the cost of illegally migrating to Spain was lower than to the US.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4737.

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Length: 31 pages
Date of creation: Feb 2010
Date of revision:
Publication status: published in: World Bank Economic Review, 2011, 25 (1), 57-76
Handle: RePEc:iza:izadps:dp4737

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Keywords: immigration policies; sorting; selection; migration;

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  1. Simone BERTOLI, 2010. "Networks, Sorting and Self-selection of Ecuadorian Migrants," Annales d'Economie et de Statistique, ENSAE, issue 97-98, pages 261-288.
  2. Andrew Atkeson & V. V. Chari & Patrick J. Kehoe, 2008. "Sophisticated monetary policies," Working Papers 659, Federal Reserve Bank of Minneapolis.
  3. David McKenzie & Hillel Rapoport, 2007. "Self-selection patterns in Mexico-U.S. migration: The role of migration networks," CReAM Discussion Paper Series 0701, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  4. 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.
  5. Fabian Valencia & Luc Laeven, 2008. "Systemic Banking Crises," IMF Working Papers 08/224, International Monetary Fund.
  6. Grogger, Jeffrey & Hanson, Gordon H., 2011. "Income maximization and the selection and sorting of international migrants," Journal of Development Economics, Elsevier, vol. 95(1), pages 42-57, May.
  7. Francesc Ortega & Giovanni Peri, 2009. "The Causes and Effects of International Migrations: Evidence from OECD Countries 1980-2005," NBER Working Papers 14833, National Bureau of Economic Research, Inc.
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