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International Migration, Ethnicity and Economic Inequality

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  • Kahanec, Martin

    () (Central European University)

  • Zimmermann, Klaus F.

    (University of Bonn)

Abstract

While the allocative efficiency of mobility is typically considered to be positive but small in the long run, the induced changes in equality may be considerable in size. In practice, however, migrants typically improve their income position in comparison to those at home, stimulate the economic situation of the sending countries through remittances and rise the economic performance of natives and of capital in the host country through complementarities. The chapter suggests that at least skilled immigration promotes economic equality in the host country under standard conditions. The context is empirically documented und theoretically explained in a core model. Also, immigrant assimilation and selection is discussed, as is the role of ethnicity and ethnic identity for relative economic performance.

Suggested Citation

  • Kahanec, Martin & Zimmermann, Klaus F., 2008. "International Migration, Ethnicity and Economic Inequality," IZA Discussion Papers 3450, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp3450
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    Citations

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    Cited by:

    1. Martin Kahanec & Renáta Králiková, 2012. "Higher Education Policy and Migration: The Role of International Student Mobility," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 9(4), pages 20-27, 02.
    2. Jennissen, Roel P.W., 2002. "Economic determinants of international labour migration in EU/EFTA region 1985-1999," ERSA conference papers ersa02p305, European Regional Science Association.
    3. Kahanec, Martin, 2012. "Report No. 49: Skilled Labor Flows: Lessons from the European Union," IZA Research Reports 49, Institute for the Study of Labor (IZA).
    4. Bisin, Alberto & Verdier, Thierry, 2017. "Inequality, redistribution and cultural integration in the Welfare State," European Journal of Political Economy, Elsevier, vol. 50(C), pages 122-140.
    5. Elsner, Benjamin & Zimmermann, Klaus F., 2013. "10 Years After: EU Enlargement, Closed Borders, and Migration to Germany," IZA Discussion Papers 7130, Institute for the Study of Labor (IZA).
    6. Martin Kahanec, 2013. "Labor mobility in an enlarged European Union," Chapters,in: International Handbook on the Economics of Migration, chapter 7, pages 137-152 Edward Elgar Publishing.
    7. Fidrmuc, J. & Horváth, J., 1998. "Stability of Monetary Unions : Lessons from the Break-Up of Czechoslovakia," Discussion Paper 1998-74, Tilburg University, Center for Economic Research.
    8. Wadim Strielkowski & Cathal O’Donoghue, 2006. "Ready to Go? EU Enlargement and Migration Potential: Lessons for the Czech Republic in the Context of Irish Migration Experience," Prague Economic Papers, University of Economics, Prague, vol. 2006(1), pages 14-28.
    9. Zimmermann, Klaus F., 2009. "Mobilitätspolitik in Europa," IZA Standpunkte 7, Institute for the Study of Labor (IZA).
    10. Holger Hinte & Klaus F. Zimmermann, 2010. "Mehr ökonomische Rationalität in der Zuwanderungspolitik," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 79(1), pages 85-100.
    11. Eric Neumayer, 2003. "Bogus Refugees? The Determinants of Asylum Migration to Western Europe," Labor and Demography 0311002, EconWPA, revised 19 May 2004.
    12. Zimmermann, Klaus F., 2011. "Migration und Integration: Deutschland als Einwanderungsland - "... denn ihr seid selbst Fremde in Ägypten gewesen"," IZA Standpunkte 35, Institute for the Study of Labor (IZA).
    13. Zimmermann, Klaus F., 2013. "Reflexionen zur Zukunft der Arbeit," IZA Standpunkte 56, Institute for the Study of Labor (IZA).
    14. Hinte, Holger & Rinne, Ulf & Zimmermann, Klaus F., 2011. "Report No. 35: Ein Punktesystem zur bedarfsorientierten Steuerung der Zuwanderung nach Deutschland," IZA Research Reports 35, Institute for the Study of Labor (IZA).
    15. Hinte, Holger & Rinne, Ulf & Zimmermann, Klaus F., 2011. "Zuwanderung, Demografie und Arbeitsmarkt: Fakten statt Vorbehalte," IZA Standpunkte 37, Institute for the Study of Labor (IZA).
    16. Kahanec, Martin & Králiková, Renáta, 2011. "Pulls of International Student Mobility," IZA Discussion Papers 6233, Institute for the Study of Labor (IZA).

    More about this item

    Keywords

    ethnicity; migration; income distribution; inequality; integration; ethnosizing; Gini-coefficient; minority; assimilation;

    JEL classification:

    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • E25 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • 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

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