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Immigration and economic growth in the OECD countries 1986-2006: A panel data analysis

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Abstract

This paper presents a reappraisal of the impact of migration on economic growth for 22 OECD countries between 1986 and 2006. It is based on a unique dataset that enables to distinguish net migration of the native-born and foreign-born by skill level. Migration is introduced in an augmented Solow-Swan model and the results are obtained using a GMM estimation, in order to deal with the potential endogeneity of the migration variables. In this framework, we identify a positive impact of the human capital brought by migrants on economic growth. The contribution of immigrants to the human capital accumulation tends to dominate the mechanical dilution effect, but the net effect is fairly small, including in countries which have highly selective migration policies

Suggested Citation

  • Ekrame Boubtane & Jean-Christophe Dumont, 2013. "Immigration and economic growth in the OECD countries 1986-2006: A panel data analysis," Documents de travail du Centre d'Economie de la Sorbonne 13013, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
    • Handle: RePEc:mse:cesdoc:13013
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    Cited by:

    1. Böhmelt, Tobias & Bove, Vincenzo, 2017. "How Migration Policies Moderate the Diffusion of Terrorism," CAGE Online Working Paper Series 349, Competitive Advantage in the Global Economy (CAGE).
    2. Hippolyte d'Albis & Ekrame Boubtane & Dramane Coulibaly, 2016. "Immigration Policy and Macroeconomic Performance in France," Annals of Economics and Statistics, GENES, issue 121-122, pages 279-308.
    3. repec:mje:mjejnl:v:12:y:2017:i:3:p:31-42 is not listed on IDEAS
    4. Alina HALLER, 2017. "Alter-Globalism And Development In Migration Conditions. The Case Of An East European Country," CrossCultural Management Journal, Fundația Română pentru Inteligența Afacerii, Editorial Department, issue 2, pages 95-103, December.
    5. Aurelija Puraite & Saulius Greichius & Danguole Seniutiene, 2017. "Managing State Border in the Context of Migration Crisis in Europe - Lithuanian Case," Montenegrin Journal of Economics, Economic Laboratory for Transition Research (ELIT), vol. 13(3), pages 31-42.
    6. Marcus H. Böhme & Sarah Kups, 2017. "The economic effects of labour immigration in developing countries: A literature review," OECD Development Centre Working Papers 335, OECD Publishing.
    7. Jacob Funk Kirkegaard, 2015. "Toward a European Migration and Mobility Union," Policy Briefs PB15-23, Peterson Institute for International Economics.
    8. Muysken, Joan & Ziesemer, Thomas, 2011. "Immigration and growth in an ageing economy," MERIT Working Papers 2011-012, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    9. Torben M. Andersen & Giuseppe Bertola & John Driffill & Clemens Fuest & Harold James & Jan-Egbert Sturm & Branko Uroševic, 2017. "Chapter 4: Immigration and the Refugee Crisis – Can Europe Rise to the Challenge?," EEAG Report on the European Economy, CESifo, vol. 0, pages 82-101, March.
    10. Iskra Beleva, 2016. "The impact of emigration on the socio-economic development of Bulgaria," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 3-22,23-41.
    11. Joan Muysken & Thomas Ziesemer, 2014. "The Effect of Immigration on Economic Growth in an Ageing Economy," Bulletin of Applied Economics, Risk Market Journals, vol. 1(1), pages 35-63.
    12. Ather H. Akbari & Azad Haider, 2018. "Impact of Immigration on Economic Growth in Canada and in its Smaller Provinces," Journal of International Migration and Integration, Springer, vol. 19(1), pages 129-142, February.
    13. Torben M. Andersen & Giuseppe Bertola & John Driffill & Clemens Fuest & Harold James & Jan-Egbert Sturm & Branko Uroševic, 2017. "The EEAG Report on the European Economy 2017: Economics of Populism," EEAG Report on the European Economy, CESifo, vol. 0, pages 01-110, March.

    More about this item

    Keywords

    International migration; human capital; economic growth; generalized methods of moments;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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