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Returns to migration, education, and externalities in the European Union

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Abstract

This paper uses microeconomic data for more than 100,000 European individuals in order to analyse whether the individual economic returns to education vary between migrants and non-migrants and whether any differences in earnings between these two groups are affected by household and/or geographical (regional and interregional) externalities. The results point out that while education is a fundamental determinant of earnings, European labour markets do not discriminate in the returns to education between migrants and nonmigrants. Household, regional, and supra-regional externalities influence the economic returns to education in a similar way for local, intranational, and supra-national migrants. The results are robust to the introduction of a large number of individual, household, and regional controls.

Suggested Citation

  • Andrés Rodríguez-Pose & Vassilis Tselios, 2009. "Returns to migration, education, and externalities in the European Union," Working Papers 2009-15, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales, revised 09 Feb 2010.
    • Handle: RePEc:imd:wpaper:wp2009-15
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    Cited by:

    1. Andrés Rodríguez-Pose & Vassilis Tselios, 2012. "Welfare Regimes and the Incentives to Work and Get Educated," Environment and Planning A, , vol. 44(1), pages 125-149, January.
    2. Andrés Rodríguez-Pose & Tobias D. Ketterer, 2012. "Do Local Amenities Affect The Appeal Of Regions In Europe For Migrants?," Journal of Regional Science, Wiley Blackwell, vol. 52(4), pages 535-561, October.
    3. Paola Bertolini & Michele Lalla & Francesco Pagliacci, 2015. "School enrolment of first- and second-generation immigrant students in Italy: A geographical analysis," Papers in Regional Science, Wiley Blackwell, vol. 94(1), pages 141-159, March.
    4. Andrés Rodríguez-Pose, 2011. "Economists as geographers and geographers as something else: on the changing conception of distance in geography and economics," Journal of Economic Geography, Oxford University Press, vol. 11(2), pages 347-356, March.
    5. Andrés Rodríguez-Pose & Tobias Ketterer, 2015. "Do we follow the money? The drivers of migration across regions in the EU," REGION, European Regional Science Association, vol. 2, pages 27-45.
    6. Simona Iammarino & Elisabetta Marinelli, 2012. "Education-Job (Mis)Matching And Interregional Migration: Italian University Graduates’ Transition To Work," Working Papers 8, Birkbeck Centre for Innovation Management Research, revised Sep 2012.

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    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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