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Migration Policy and its Interactions with Aid, Trade, and Foreign Direct Investment Policies: A Background Paper

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  • Theodora Xenogiani

Abstract

It is recognised that migration can, under certain conditions, generate important net gains for the migrants’ home countries. These gains may be in terms of growth, poverty reduction, insurance against risk and accumulation of human capital. Moreover migration may interact in various and complex ways with other policy vectors such as trade, investment and development assistance and they may have various joint impacts on development. This paper reviews the literature on the impact of migration on development. It also identifies the major methodological issues in terms of data use, data availability and econometric techniques. Moreover it investigates the joint development impact of migration, trade, investment and development assistance and assesses the degree of substitutability and/or complementarity among them. It shows that there is a great degree of heterogeneity of outcomes across countries and regions of the world and across time. The paper concludes by drawing some main lessons from the literature. Les migrations peuvent, dans certaines conditions, être source de gains importants pour les pays d’origine des migrants. Ces bénéfices peuvent être sous forme de croissance économique, de réduction de la pauvreté, d’assurance contre le risque et d’accumulation de capital humain. De surcroît, les migrations peuvent interagir de manière diverse et plus ou moins complexe avec d’autres déterminants politiques tels que le commerce, l’investissement ou encore l’Aide publique au développement, et ils peuvent alors avoir divers effets conjugués sur le développement. Ce document explore la littérature sur l’impact des migrations sur le développement. Il identifie également les principales problèmatiques méthodologiques liées au traitement des données, à leur accessibilité et aux techniques économétriques. En outre, l’ouvrage étudie l’impact conjugué des migrations, du commerce, de l’investissement et de l’APD sur le développement, et évalue leur degré de substituabilité et/ou de complémentarité. Il met ainsi en exergue l’extrême hétérogénéité des résultats pour tous les pays et toutes les régions du monde, mais également à travers le temps. Le document tire enfin les leçons importantes de ce fonds de littérature.

Suggested Citation

  • Theodora Xenogiani, 2006. "Migration Policy and its Interactions with Aid, Trade, and Foreign Direct Investment Policies: A Background Paper," OECD Development Centre Working Papers 249, OECD Publishing.
  • Handle: RePEc:oec:devaaa:249-en
    DOI: 10.1787/426368751574
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    Cited by:

    1. Koethenbuerger, Marko, 2014. "Competition for migrants in a federation: Tax or transfer competition?," Journal of Urban Economics, Elsevier, vol. 80(C), pages 110-118.
    2. Thierry Mayer, 2006. "Policy Coherence for Development : A Background paper on Foreign Direct Investment," SciencePo Working papers Main hal-01065640, HAL.
    3. repec:hal:wpspec:info:hdl:2441/10184 is not listed on IDEAS
    4. Vesselin Mintchev & Venelin Boshnakov, 2021. "Return Migration and Remittances: Recent Empirical Evidence for Bulgaria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 56-75.
    5. repec:spo:wpecon:info:hdl:2441/10184 is not listed on IDEAS
    6. Delphine Boutin, 2011. "Envoi de fonds et allocation du temps des enfants au Niger : L’effet indirect des chocs négatifs," Larefi Working Papers 201105, Larefi, Université Bordeaux 4.
    7. repec:hal:spmain:info:hdl:2441/10184 is not listed on IDEAS

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