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On a Variation in the Economic Performance of Migrants by their Home Country's Wage

Author

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  • Stark, Oded

Abstract

Although the economic performance of migrants in the receiving country undoubtedly depends on qualifications, it is also affected by inclinations. Given the probability of return migration, a behavioural link is established between the incentive of migrants to save in their country of destination and the prevailing wage rate in their home country. It is shown that migrants coming from a low-wage country optimally save more than migrants from a high-wage country. Policy and research implications suggested by this savings behaviour are alluded to.

Suggested Citation

  • Stark, Oded, 2002. "On a Variation in the Economic Performance of Migrants by their Home Country's Wage," MPRA Paper 21682, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:21682
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    File URL: https://mpra.ub.uni-muenchen.de/21682/1/MPRA_paper_21682.pdf
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    References listed on IDEAS

    as
    1. Oded Stark & Christian Helmenstein & Yury Yegorov, 1997. "Migrants' Savings, Purchasing Power Parity, and the Optimal Duration of Migration," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 4(3), pages 307-324, July.
    2. Galor, Oded & Stark, Oded, 1991. "The Impact of Differences in the Levels of Technology on International Labor Migration," Journal of Population Economics, Springer;European Society for Population Economics, vol. 4(1), pages 1-12, March.
    3. Carroll, Christopher D & Rhee, Byung-Kun & Rhee, Changyong, 1999. "Does Cultural Origin Affect Saving Behavior? Evidence from Immigrants," Economic Development and Cultural Change, University of Chicago Press, vol. 48(1), pages 33-50, October.
    4. Galor, Oded & Stark, Oded, 1990. "Migrants' Savings, the Probability of Return Migration and Migrants' Performance," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 31(2), pages 463-467, May.
    5. Galor, Oded & Stark, Oded, 1991. "The probability of return migration, migrants' work effort, and migrants' performance," Journal of Development Economics, Elsevier, vol. 35(2), pages 399-405, April.
    6. Merkle, Lucie & Zimmermann, Klaus F., 1992. "Savings, remittances, and return migration," Economics Letters, Elsevier, vol. 38(1), pages 77-81, January.
    7. Schaeffer, Peter V, 1995. "The Work Effort and the Consumption of Immigrants as a Function of Their Assimilation," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 36(3), pages 625-642, August.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Mouawiya Al-Awad & Adam Elhiraika, 2003. "Cultural Effects and Savings: Evidence from Immigrants to the United Arab Emirates," Journal of Development Studies, Taylor & Francis Journals, vol. 39(5), pages 139-151.

    More about this item

    Keywords

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    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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