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Migrants and International Economic Linkages: A Meta-Overview

Listed author(s):
  • Masood Gheasi

    (VU University Amsterdam)

  • Peter Nijkamp

    (VU University Amsterdam)

  • Piet Rietveld

    (VU University Amsterdam)

This discussion paper resulted in an article in Spatial Economic Analysis (2011). Volume 6, issue 4, pages 359-376. The rapid growth in the foreign-born population in many high and middle-income countries in the past decades has prompted much research on the socio-economic impacts of immigration. The migration issue has become one of the most debated subjects in many developed countries. Since the early 1990s, many applied studies have been conducted on the impact of international migration on international trade, foreign direct investment, and tourism. These studies have largely adopted the same specification, viz. the log-linear gravity model in combination with the knowledge capital model, where the (logarithm of the) stock of migrants from a specific source country may be included as an additional explanatory variable. Our study provides a concise review of the relationship between migrants and their international economic linkages. It then focuses on Foreign Direct Investment (FDI), for both inward and outward FDI. The main aim of our study is to offer a synthesis by means of a meta-analysis of various studies undertaken worldwide, in order to test the robustness of the relationship between migration and foreign direct investment. Our primary results confirm that immigration has a positive impact on FDI investment in both directions (inward and outward), and that these impacts are higher when migrants are highly-educated and skilled.

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Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 11-147/3.

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Date of creation: 13 Oct 2011
Handle: RePEc:tin:wpaper:20110147
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  1. Sara Flisi & Marina Murat, 2009. "Immigrant Links, Diasporas and FDI. An Empirical Investigation on Five European Countries," Department of Economics 0608, University of Modena and Reggio E., Faculty of Economics "Marco Biagi".
  2. Sourafel Girma & Zhihao Yu, 2002. "The link between immigration and trade: Evidence from the United Kingdom," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 138(1), pages 115-130, March.
  3. Brander, Luke M. & Van Beukering, Pieter & Cesar, Herman S.J., 2007. "The recreational value of coral reefs: A meta-analysis," Ecological Economics, Elsevier, vol. 63(1), pages 209-218, June.
  4. Masood Gheasi & Peter Nijkamp & Piet Rietveld, 2013. "Migration and foreign direct investment: education matters," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 51(1), pages 73-87, August.
  5. Peter Nijkamp & Mediha Sahin & Tüzin Baycan-Levent, 2010. "Migrant Entrepreneurship And New Urban Economic Opportunities: Identification Of Critical Success Factors By Means Of Qualitative Pattern Recognition Analysis," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 101(4), pages 371-391, September.
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