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Effects of enforcement on illegal markets: Evidence from migrant smuggling along the southwestern border

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Listed author(s):
  • Gathmann, Christina

Abstract

The paper analyzes the effects of tighter border control on the illegal crossing market between Mexico and the United States. Combining panel data on illegal migrants with enforcement statistics, the effects of enforcement are found to be moderate: prices of border smugglers ('coyotes') increased by only 17%, while the demand for smugglers has remained unchanged. Enforcement has however shifted illegal migrants to remote crossing places. Border crossing is now more time-intensive with higher prices for coyotes and risk of death. This geographic substitution raised migration costs by $140, more than twice the effect of enforcement on smuggling prices.

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File URL: http://www.sciencedirect.com/science/article/pii/S0047-2727(08)00067-4
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Article provided by Elsevier in its journal Journal of Public Economics.

Volume (Year): 92 (2008)
Issue (Month): 10-11 (October)
Pages: 1926-1941

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Handle: RePEc:eee:pubeco:v:92:y:2008:i:10-11:p:1926-1941
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505578

Keywords: Enforcement Illegal migration Smuggling Crime Mexico;

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  1. Antonio Spilimbergo & Gordon H. Hanson, 1999. "Illegal Immigration, Border Enforcement, and Relative Wages: Evidence from Apprehensions at the U.S.-Mexico Border," American Economic Review, American Economic Association, vol. 89(5), pages 1337-1357, December.
  2. Gary S. Becker, 1974. "Crime and Punishment: An Economic Approach," NBER Chapters,in: Essays in the Economics of Crime and Punishment, pages 1-54 National Bureau of Economic Research, Inc.
  3. Douglas Massey & Audrey Singer, 1995. "New Estimates of Undocumented Mexican Migration and the Probability of Apprehension," Demography, Springer;Population Association of America (PAA), vol. 32(2), pages 203-213, May.
  4. Ethier, Wilfred J, 1986. "Illegal Immigration: The Host-Country Problem," American Economic Review, American Economic Association, vol. 76(1), pages 56-71, March.
  5. Saffer, Henry & Chaloupka, Frank, 1999. "The Demand for Illicit Drugs," Economic Inquiry, Western Economic Association International, vol. 37(3), pages 401-411, July.
  6. Orrenius, Pia M. & Zavodny, Madeline, 2005. "Self-selection among undocumented immigrants from Mexico," Journal of Development Economics, Elsevier, vol. 78(1), pages 215-240, October.
  7. Gordon H. Hanson, 2006. "Illegal Migration from Mexico to the United States," Journal of Economic Literature, American Economic Association, vol. 44(4), pages 869-924, December.
  8. Katharine Donato & Jorge Durand & Douglas Massey, 1992. "Stemming the tide? Assessing the deterrent effects of the immigration reform and control act," Demography, Springer;Population Association of America (PAA), vol. 29(2), pages 139-157, May.
  9. Kuziemko, Ilyana & Levitt, Steven D., 2004. "An empirical analysis of imprisoning drug offenders," Journal of Public Economics, Elsevier, vol. 88(9-10), pages 2043-2066, August.
  10. Jeffrey A. Miron, 2003. "The Effect of Drug Prohibition on Drug Prices: Evidence from the Markets for Cocaine and Heroin," The Review of Economics and Statistics, MIT Press, vol. 85(3), pages 522-530, August.
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