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Source Country Characteristics and Immigrants' Migration Duration and Saving Decisions

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  • Kirdar, Murat G.

    ()
    (Middle East Technical University)

Abstract

This paper examines how immigrants' migration duration and saving decisions in the host country respond to the purchasing power parity (ppp) and the wage ratio between the host and source countries. It is shown that in theory immigrants may stay longer in the host country as a result of an increase in ppp, in particular those with a high willingness to substitute consumption intertemporally. However, the empirical results from immigrants in Germany reveal that optimal migration duration decreases in ppp. Holding individual immigrant characteristics constant, immigrants from poorer source countries have shorter migration duration than immigrants from wealthier source countries. The empirical results also reveal that saving rate increases in ppp.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4899.

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Length: 46 pages
Date of creation: Apr 2010
Date of revision:
Publication status: published in: IZA Journal of Migration 2013, 2:8
Handle: RePEc:iza:izadps:dp4899

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Keywords: immigrant workers; international migration;

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References

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Cited by:
  1. Sylvie Démurger & Hui Xu, 2011. "Left-Behind Children and Return Decisions of Rural Migrants in China," Working Papers 1122, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure.
  2. Abarcar, Paolo, 2013. "The Return Motivations of Legal Permanent Migrants: Evidence from Exchange Rate Shocks and Immigrants in Australia," MPRA Paper 47832, University Library of Munich, Germany.

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