IDEAS home Printed from https://ideas.repec.org/p/hal/journl/hal-01840241.html
   My bibliography  Save this paper

Migrating out of a crowded labor market: evidence from Egypt

Author

Listed:
  • Joachim Jarreau

    (LEDa - Laboratoire d'Economie de Dauphine - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres)

  • Anda David

    (Institut de Recherche pour le Développement (IRD), LEDA-DIAL - Développement, Institutions et Modialisation - LEDa - Laboratoire d'Economie de Dauphine - IRD - Institut de Recherche pour le Développement - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique, LEDa - Laboratoire d'Economie de Dauphine - IRD - Institut de Recherche pour le Développement - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique)

Abstract

We analyze the determinants of emigration at the individual and household level, using three waves of the Egyptian labor market panel survey (ELMPS) covering the 1998–2012 period. Exploiting the panel structure of the data allows us to reduce the risk of reverse causality and to estimate the effect of migrant networks more accurately than in studies based on cross-sectional data. We confirm, in the Egyptian context, the non-linear relationship between household resources and migration propensity, due to migration costs; a larger network of past emigrants from the same community mitigates this selection on wealth, increasing the propensity to migrate among poorer households. We also show that unemployment and informal employment act as incentives to emigrate, suggesting that the scarcity of quality jobs, in particular on the skilled labor market, is one important driver of emigration flows in Egypt. However, these incentives turn into effective migration only in communities with a sufficiently large network of past migrants.

Suggested Citation

  • Joachim Jarreau & Anda David, 2017. "Migrating out of a crowded labor market: evidence from Egypt," Post-Print hal-01840241, HAL.
    • Handle: RePEc:hal:journl:hal-01840241
    DOI: 10.1186/s40176-017-0092-4
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Francesca Marchetta, 2012. "The Impact of Migration on the Labor Markets in the Arab Mediterranean Countries," Middle East Development Journal, Taylor & Francis Journals, vol. 4(1), pages 1230001-121, January.
    2. Jackline Wahba & Ragui Assaad, 2017. "Flexible Labor Regulations and Informality in Egypt," Review of Development Economics, Wiley Blackwell, vol. 21(4), pages 962-984, November.
    3. Jesúús Fernández-Huertas Moraga, 2011. "New Evidence on Emigrant Selection," The Review of Economics and Statistics, MIT Press, vol. 93(1), pages 72-96, February.
    4. Wahba, Jackline & Zenou, Yves, 2012. "Out of sight, out of mind: Migration, entrepreneurship and social capital," Regional Science and Urban Economics, Elsevier, vol. 42(5), pages 890-903.
    5. Bertoli, Simone & Marchetta, Francesca, 2015. "Bringing It All Back Home – Return Migration and Fertility Choices," World Development, Elsevier, vol. 65(C), pages 27-40.
    6. World Bank, 2014. "More Jobs, Better Jobs : A Priority for Egypt," World Bank Publications - Reports 20584, The World Bank Group.
    7. Binzel, Christine & Assaad, Ragui, 2011. "Egyptian men working abroad: Labour supply responses by the women left behind," Labour Economics, Elsevier, vol. 18(S1), pages 98-114.
    8. repec:bla:scotjp:v:48:y:2001:i:2:p:164-78 is not listed on IDEAS
    9. Ragui Assaad, 2014. "Making sense of Arab labor markets: the enduring legacy of dualism," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-25, December.
    10. Jackline Wahba, 2014. "Through the Keyhole: International Migration in Egypt," Working Papers 830, Economic Research Forum, revised May 2014.
    11. Deon Filmer & Lant Pritchett, 2001. "Estimating Wealth Effects Without Expenditure Data—Or Tears: An Application To Educational Enrollments In States Of India," Demography, Springer;Population Association of America (PAA), vol. 38(1), pages 115-132, February.
    12. Jackline Wahba, 2015. "Selection, selection, selection: the impact of return migration," Journal of Population Economics, Springer;European Society for Population Economics, vol. 28(3), pages 535-563, July.
    13. Barry McCormick & Jackline Wahba, 2003. "Return International Migration and Geographical Inequality: The Case of Egypt," Journal of African Economies, Centre for the Study of African Economies, vol. 12(4), pages 500-532, December.
    14. Mckenzie, David & Rapoport, Hillel, 2007. "Network effects and the dynamics of migration and inequality: Theory and evidence from Mexico," Journal of Development Economics, Elsevier, vol. 84(1), pages 1-24, September.
    15. Mona Amer & Philippe Fargues, 2014. "Labour Market Outcomes and Egypt’s Migration Potential," RSCAS Working Papers 2014/55, European University Institute.
    16. George J. Borjas, 2021. "Self-Selection and the Earnings of Immigrants," World Scientific Book Chapters, in: Foundational Essays in Immigration Economics, chapter 4, pages 69-91, World Scientific Publishing Co. Pte. Ltd..
    17. Assaad, Ragui & Krafft, Caroline (ed.), 2015. "The Egyptian Labor Market in an Era of Revolution," OUP Catalogue, Oxford University Press, number 9780198737254.
    18. David McKenzie & Hillel Rapoport, 2010. "Self-Selection Patterns in Mexico-U.S. Migration: The Role of Migration Networks," The Review of Economics and Statistics, MIT Press, vol. 92(4), pages 811-821, November.
    19. Ragui Assaad & Caroline Krafft, 2013. "The Evolution of Labor Supply and Unemployment in the Egyptian Economy: 1988-2012," Working Papers 806, Economic Research Forum, revised Nov 2013.
    20. Kaivan Munshi, 2003. "Networks in the Modern Economy: Mexican Migrants in the U. S. Labor Market," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 118(2), pages 549-599.
    21. Daniel Chiquiar & Gordon H. Hanson, 2005. "International Migration, Self-Selection, and the Distribution of Wages: Evidence from Mexico and the United States," Journal of Political Economy, University of Chicago Press, vol. 113(2), pages 239-281, April.
    22. Fernández-Huertas Moraga, Jesús, 2013. "Understanding different migrant selection patterns in rural and urban Mexico," Journal of Development Economics, Elsevier, vol. 103(C), pages 182-201.
    23. Barry McCormick & Jackline Wahba, 2001. "Overseas Work Experience, Savings and Entrepreneurship Amongst Return Migrants to LDCs," Scottish Journal of Political Economy, Scottish Economic Society, vol. 48(2), pages 164-178, May.
    24. Simone Bertoli & Francesca Marchetta, 2015. "Bringing It All Back Home – Return Migration and Fertility Choices," Post-Print halshs-01141668, HAL.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhang, Wenwu & Luo, Le & Gu, Lianglian, 2023. "An empirical study on urban integration of Chinese elderly individuals with migration in periods of economic transformation: Internal mechanism and economic effects," International Review of Economics & Finance, Elsevier, vol. 86(C), pages 170-181.
    2. Anda DAVID & Björn NILSSON, 2021. "Migration and rural development in NENA countries," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 53, pages 147-165.
    3. Vladimir Hlasny & Shireen AlAzzawi, 2020. "Return Migration and Earnings Mobility in Egypt, Jordan and Tunisia," Working Papers 562, ECINEQ, Society for the Study of Economic Inequality.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Anda David & Joachim Jarreau, 2016. "Determinants of Emigration: Evidence from Egypt," Working Papers 987, Economic Research Forum, revised Apr 2016.
    2. Vladimir Hlasny & Shireen AlAzzawi, 2020. "Return Migration and Earnings Mobility in Egypt, Jordan and Tunisia," Working Papers 562, ECINEQ, Society for the Study of Economic Inequality.
    3. Mahé, Clothilde, 2016. "Skills and entrepreneurship: Are return migrants 'Jacks-of-all-trades'?," MERIT Working Papers 2016-071, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    4. Fernández-Huertas Moraga, Jesús, 2013. "Understanding different migrant selection patterns in rural and urban Mexico," Journal of Development Economics, Elsevier, vol. 103(C), pages 182-201.
    5. Simone Bertoli & Francesca Marchetta, 2014. "Migration, Remittances and Poverty in Ecuador," Journal of Development Studies, Taylor & Francis Journals, vol. 50(8), pages 1067-1089, August.
    6. Gröger, André, 2021. "Easy come, easy go? Economic shocks, labor migration and the family left behind," Journal of International Economics, Elsevier, vol. 128(C).
    7. Mahe, Clotilde, 2017. "Husbands' return migration and wives' occupational choices," MERIT Working Papers 2017-031, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    8. Mahe, Clotilde, 2017. "Occupational choice of return migrants: Is there a 'Jack-of-all-trades' effect?," MERIT Working Papers 2017-039, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    9. Christian Dustmann & Joseph-Simon Görlach, 2016. "The Economics of Temporary Migrations," Journal of Economic Literature, American Economic Association, vol. 54(1), pages 98-136, March.
    10. Abramitzky, Ran & Boustan, Leah Platt & Eriksson, Katherine, 2013. "Have the poor always been less likely to migrate? Evidence from inheritance practices during the age of mass migration," Journal of Development Economics, Elsevier, vol. 102(C), pages 2-14.
    11. Li Shan, 2020. "Rainfall and self-selection patterns in Mexico-US migration," IZA Journal of Development and Migration, Sciendo & Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 11(1), pages 1-32, January.
    12. Escamilla-Guerrero, David & López-Alonso, Moramay, 2023. "Migrant Self-Selection and Random Shocks: Evidence from the Panic of 1907," The Journal of Economic History, Cambridge University Press, vol. 83(1), pages 45-85, March.
    13. Duncan, Alan & Harris, Mark N. & Mavisakalyan, Astghik & Nguyen, Toan, 2020. "Migration flows in commodity cycles: Assessing the role of migration policies," European Economic Review, Elsevier, vol. 127(C).
    14. Zachary Ward, 2015. "The U-Shaped Self-Selection of Return Migrants," CEH Discussion Papers 035, Centre for Economic History, Research School of Economics, Australian National University.
    15. Elsner, Benjamin & Narciso, Gaia & Thijssen, Jacco J. J., 2013. "Migrant Networks and the Spread of Misinformation," IZA Discussion Papers 7863, Institute of Labor Economics (IZA).
    16. Spitzer, Yannay & Zimran, Ariell, 2018. "Migrant self-selection: Anthropometric evidence from the mass migration of Italians to the United States, 1907–1925," Journal of Development Economics, Elsevier, vol. 134(C), pages 226-247.
    17. Bertoli, Simone & Dequiedt, Vianney & Zenou, Yves, 2016. "Can selective immigration policies reduce migrants' quality?," Journal of Development Economics, Elsevier, vol. 119(C), pages 100-109.
    18. Simone Bertoli & Hillel Rapoport, 2015. "Heaven's Swing Door: Endogenous Skills, Migration Networks, and the Effectiveness of Quality-Selective Immigration Policies," Scandinavian Journal of Economics, Wiley Blackwell, vol. 117(2), pages 565-591, April.
    19. Alexander Patt & Jens Ruhose & Simon Wiederhold & Miguel Flores, 2021. "International Emigrant Selection on Occupational Skills," Journal of the European Economic Association, European Economic Association, vol. 19(2), pages 1249-1298.
    20. El-Mallakh, Nelly & Wahba, Jackline, 2021. "Upward or downward: Occupational mobility and return migration," World Development, Elsevier, vol. 137(C).

    More about this item

    Keywords

    International migration; Networks; Migrant selection; Formality; Egypt;
    All these keywords.

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-01840241. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.