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Short-term Migration and Intergenerational Persistence of Industry in Rural India

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  • Nandi, Tushar Kanti

    (Centre for Studies in Social Sciences, Calcutta)

  • Kar, Saibal

    (Centre for Studies in Social Sciences, Calcutta)

Abstract

One of the well-known barriers to development is persistence of disadvantage among communities. The lack of occupational and therefore upward social mobility continues to restrain households from achieving socially desirable outcomes. This paper studies the effect of short-term internal migration experience on the intergenerational persistence of industry upon a migrant's return to native place. We develop an occupational choice model of a return migrant to study the relationship between the migrant's savings, skill or any other productive asset accumulation during migration and the decision to work upon return, in the industry where his/her father is employed. Using data from a nationally representative sample survey, we find that short-term migration by males reduces the probability of intergenerational persistence by 20% in rural India. Migration to urban areas, work experience in a different industry and higher frequency of migration reduce the return migrant's chance of being employed in the industry where his father is employed. The results suggest that skill formation during migration can play a key role in reducing labour market inequality by weakening the strength of intergenerational transmission of disadvantages.

Suggested Citation

  • Nandi, Tushar Kanti & Kar, Saibal, 2015. "Short-term Migration and Intergenerational Persistence of Industry in Rural India," IZA Discussion Papers 9283, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp9283
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    Cited by:

    1. Mukherjee, Swayambhu & Kar, Saibal, 2020. "Leveraging Non-Farm Income: Micro-evidence of Occupational Choice for Rural Households in India," MPRA Paper 109940, University Library of Munich, Germany.
    2. Sweta Lahiri, 2020. "Impact of internal migration on left behind youth's labour force participation in India," Economics Bulletin, AccessEcon, vol. 40(3), pages 2165-2178.

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    More about this item

    Keywords

    migration; occupation; industry; household survey; rural India;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure

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