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Human Capital, Market Imperfections, Poverty, and Migration: Evidence from Albania

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Author Info
Etleva Germenji
Johan Swinnen

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Abstract

The most dramatic recent immigration in Europe is the influx of more than 700,000 Albanians, about a quarter of the total Albanian workforce, in the 1990s. The vast majority migrated illegally. This paper analyses the determinants of Albanian migration based on a unique representative survey of rural households. The study confirms that migrants are mostly young, male, and single. Regional variations in migration reflect a combination of cultural and economic factors, including migration costs. However, we find that migrants do not come from the poorest rural households. Moreover, education has a positive, albeit non-linear, effect on the likelihood of migration. Migration is negatively related with household access to alternative income sources and reduced financial constraints but positively related with the presence and household’s access to migration networks. Policy implications are that aid programs and government initiatives to invest in rural infrastructure and rural education may have mixed effects on migration. A key policy target to reduce migration should be the creation of non-farm rural employment and rural households?access to finance.

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File URL: http://www.econ.kuleuven.be/LICOS/DP/DP2005/DP157.pdf
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Publisher Info
Paper provided by LICOS - Centre for Institutions and Economic Performance, K.U.Leuven in its series LICOS Discussion Papers with number 15705.

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Length: 36 pages
Date of creation: 2005
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Handle: RePEc:lic:licosd:15705

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Related research
Keywords: Albania; migration; rural household;

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Find related papers by JEL classification:
F22 - International Economics - - International Factor Movements and International Business - - - International Migration
O52 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Europe
P20 - Economic Systems - - Socialist Systems and Transition Economies - - - General

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  1. Mendola, Mariapia & Carletto, Gero, 2009. "International migration and gender differentials in the home labor market : evidence from Albania," Policy Research Working Paper Series 4900, The World Bank. [Downloadable!]
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  2. Gero Carletto & Benjamin Davis & Marco Stampini, 2005. "Familiar Faces, Familiar Places: The role of family networks and previous experience for Albanian migrants," Working Papers 05-03, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA). [Downloadable!]
  3. Meyer, W. & Moellers, J. & Buchenrieder, Gertrud, 2008. "Patterns and Determinants of International Migration in Northern Albania," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44406, European Association of Agricultural Economists. [Downloadable!]
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