Labor migration in Asia

"A recent conference sponsored by the United Nations Center for Regional Development (UNCRD) in Nagoya, Japan examined the growing importance of labor migration for four major Asian labor importers (Japan, Hong Kong, Malaysia, and Singapore) and five major labor exporters (Bangladesh, Korea, Pakistan, Philippines, and Thailand).... The conference concluded that international labor migration would increase within Asia because the tight labor markets and rising wages which have stimulated Japanese investment in other Asian nations, for example, have not been sufficient to eliminate migration push and pull forces...."     

Trade Liberalization and Child Labor: A Case Study of Pakistan

The boom in industrial sector has lead to many problems and child labor is no exception. This study explores the linkages between trade liberalization and child labor both in short and long-run. The results suggest that GDP per capita and income inequality increase the child labor in the long-run but these results disappear in short-run. The study also finds that income inequality has positive and significant impact on child labor. Our findings also support that trade openness along with trade sanctions (imposed by the developed countries) are associated with the reduction in child labor in Pakistan.     

The economic,demographic, sociocultural and political setting for emigration from Sri Lanka

This study of emigration from Sri Lanka is introduced by a brief review of the situation during the colonial period and an overview of recent migration experience. The second section of the paper deals with data collection and sources for labor migration, political migration, and estimates of total net migration. The third section looks at economic and demographic trends in terms of the growth of the economy, population growth and social well-being, the growth of the labor force, unemployment, the structure of the work force, internal migration and access to agricultural lands, and income distribution and poverty. The sociocultural setting is then explored by considering exposure to the international environment, ethnicity and cultural affinity, the formation of information and job placement networks, the supportive role of the family, and the impact of success and failure. Moving on the influence of the political setting, the paper then discusses the government policy of foreign employment promotion as well as the influence of political developments on migration. In conclusion, the paper notes that future demand for domestic service workers will likely increase, and that Sri Lanka will continue to have a surplus of workers to fill this demand until the end of the 1990s, when a tightening domestic labor market and increased real wages will ease the push for migration. Political factors will continue to favor migration, however, unless a liberal democratic regime becomes the governing force in Sri Lanka.     

The impact of migrants' remittances on the Egyptian economy

"The main objective of this paper is to evaluate the impact of the large remittances made by Egyptian migrants to their home country on the Egyptian economy. In order to study this impact, we use the implications of the standard Keynesian model. We estimated the structural equations of the model using annual data for the Egyptian economy over the period from 1970 to 1984.... The results suggest that remittances have had a strong positive impact on GNP in Egypt." The authors note that remittances especially affect private consumption spending. Policy implications concerning labor migration are discussed. (SUMMARY IN FRE AND SPA)     

Population growth and rural-urban migration,with special reference to Ghana

While the population of Ghana is expected to double in 25 years at the current rate of increase (approximately 2.5% per annum), the population of urban centers is increasing even faster. The 1970 census shows the urban population growing by 4.8% per annum. This is mainly the result of rural to urban migration and, to a smaller extent, the increase in the number of urban centers from 39 in 1948 to 98 in 1960 to 135 in 1970. In the 1970 census only 57.1% of the population were enumerated in their locality of birth and only 20.9% in a locality other than their place of birth but in the same region. 4.1% were born outside Ghana, mostly in another West African country. 1 striking difference between urban and rural areas is the differing sex ratio of the working population. In rural areas there are 91.0 males aged 15-64 years for every 100 females while in urban areas there are 107.1. Most migration in Africa is for employment and those most likely to migrate are working-age males. Because secondary schools are scarce in rural areas, urban dwellers generally have a higher education level. There are no significant differences between overall labor force participation rates for females. The nationwide participation rate was 38.9% for both males and females (males 43.8%, females 34.1%); in urban areas the total was 40.0% (males 46.3%, females 33.7%) and in rural areas 38.5% (males 42.7%, females 34.3%). Ghanaian women have traditionally occupied a prominent place in the labor force. The theory that urban migration is due to urban-rural income disparities is not confirmed by figures. Considering the high amount of unemployment in urban areas, a rural dweller can average as much as a city dweller. In fact, poorly educated migrants are the ones most affected by urban unemployment. A recent study by Kodwo Ewusi considered the impact of many variables on migration; he found depressed social conditions at the place of origin are more compelling motivations than economic factors but that once people decide to migrate, they base their choice of destination primarily on economic opportunities available at that end. Distance bears little relationship to choice of destination. To stem this tide efforts need to be made to increase rural income, provide employment opportunities for those displaced as agriculture becomes more efficient, and to provide for greater amenities in rural areas. Urban unemployment is an ever-increasing problem, accentuated by population growth and migration. Intensive rural development is needed to reverse this trend.     

Emigration dynamics in the Arab region. IOM / UNFPA workshop, 7-8 October 1996, Geneva,Switzerland

This paper describes the four research monographs on emigration that were presented at the December 1995 Regional Workshop in the Arab Region. The workshop was an exchange of views and discussion of policy implications of emigration. Monographs were presented by Dr. Mayar Farrag on emigration in Egypt, Professor Nadji Safir on migration in the Maghreb, Dr. Setenay Shami on emigration dynamics in Jordan, and Dr. Lynn Evans on behalf of Dr. Ivy Papps on migration in Gulf Cooperation Council (GCC) countries. Dr. Farrag identified three periods of migration. During the mid-1960s to the mid-1970s, migrants were officially encouraged by Egypt to fill education positions. During the 1970s, many migrants left for the oil-producing countries on a temporary basis. Since the mid-1980s, the influences on Egyptian migration have been the economic recession and oil prices in the Gulf states, the completion of infrastructure projects in most Gulf states, and the replacement of foreign labor with nationals. Dr. Farrag recommended improving the migrants' skills in English and technology in order to maintain a dominant flow of temporary migrants to the Gulf region. Professor Safir reported that persons from the Maghreb region (Tunisia, Algeria, and Morocco) migrated to France before independence and subsequently to West Germany and the Benelux countries. Algeria had the highest migration potential, and Morocco had the highest migration. Morocco had established networks in destination countries, high population growth rates, and high unemployment. Maghreb countries are receiving migrants from the south. Professor Safir recommended regional integration. Dr. Shami separated step migration from stepwise migration, which complicates push-pull theories. Dr. Papps argued that use of foreign labor may not be the best option for development, and that sending countries should be more aware of skill needs in GCC countries.     

A SIMULTANEOUS-EQUATIONS MODEL OF WHITE AND NONWHITE MIGRATION AND URBAN CHANGE

Utilizing color-specific data relating to the 100 largest Standard Metropolitan Statistical Areas (SMSA's), this study develops a simultaneous-equations model of migration and urban change for white and nonwhite civilian labor force members. For both the white and nonwhite groups significant own-group interactions are uncovered between migration and urban change. Significant interactions between the groups are also apparent. White civilian labor force members are found to be more responsive to the growth of (destination) Job opportunities than nonwhite civilian labor force members, while nonwhites are more responsive than whites to high (destination) income levels and income growth.     

Rural development and urban migration: can we keep them down on the farm?

This study tests the hypothesis that rural development projects and programs reduce rural-urban migration. The author presents various factors in the social theories of migration, including those relating to origin and destination, intervening obstacles such as distance, and personal factors. 3 economic models of migration are the human capital or cost-benefit approach, the expected income model, and the intersectoral linkage model. Empirical studies of migration indicate that: 1) rural areas with high rates of out-migration tend to have high population densities or high ratios of labor to arable land, 2) distance inhibits migration, 3) rural-urban migration is positively correlated with family income level, and 4) selectivity differences in socioeconomic status between migrants and nonmigrants often are grouped into development packages which might include irrigation, new varieties of seed, subsidized credit, increased extension, and improved marketing arrangements. The migration impacts of some of these efforts are described: 1) land reform usually is expected to slow rural out-migration because it normally increases labor utilization in rural areas, but this is a limited effect, 2) migration effects of the Green Revolution technology are mainly in rural-rural migration, and 3) agricultural mechanization may stimulate rural-urban migration in the long run. Development of rural social services migh have various effects on rural-urban migration. Better rural education, which improves the chances of urban employment, will stimulate rural-urban migration, while successful rural family planning programs will have a negative effect in the long run as there will be reduced population pressure on arable land. Better rural health services might reduce the incentive for rural-urban migration as well. It is suggested that governments reconsider policies which rely on rural development to curb rural-urban migration and alleviate problems of urban poverty and underemployment.     

Migrations of ethnic unmixing in the "New Europe"

"This article addresses a... neglected, link between migration and ethnicity or nationality in Europe. It explores migrations of ?ethnic unmixing' or ?ethnic affinity'. Ethnic unmixing and ethnic affinity have somewhat different connotations and call attention to two distinct respects in which ethnicity may figure in such migrations: (1) as a push factors at the point of origin, and (2) as a pull factor at the point of destination. "     

Assessing the Differences in Distance of Interstate Migration, 1980

Abstract

Distance is an integral dimension of migration; yet, in recent years, ignored in migration research except as a control variable. This study examines distance of 1975–80 interstate migration and several explanations for the relations between distance and characteristic of migrants and locations. While earlier research provides only a few findings to replicate, the literature is replete with suggestions concerning the relation between distance and both areal and individual characteristics. These include that distance represents transportation costs, psychic costs — e.g., separation from family and friends and cultural dissimilarity of areas — intervening opportunities and competing migrants, geographic scope of labor market and diminishing information about opportunities.

Observations are individual records from the 1980 one-in-ten-thousand PUMS files. The sample is restricted to nonblack, noninstitutionalized head of households, age 25 to 64 in 1980. Respondents must be civilians and residing in the contiguous 48 states in both 1975 and 1980. Individual characteristics include distance of migration, sex, age, marital status, nativity, education, personal income, occupation, employment status and student status. Most location characteristics are from County Statistics File 2. These characteristics include average wage, per capita income, unemployment, average number of days per year below freezing and variables on local government taxes, educational expenditures, health expenditure and welfare expenditures. Additionally, we use proportion of the population born in state of origin residing at destination as a measure of information flow between origin and destination. We correct for sample selection bias in restricting the study to migrants.

We find outmigration is shaped by characteristics of individuals; however, distance of migration is shaped by characteristics at locations. Findings lend support to an interpretation of distance reflecting psychic costs and information and are consistent with a cost/benefit view of factors contributing to distance of migration.     

Migration aspirations and the perceptions of the political,economic and social environment in Africa

While much research has investigated how objective pull factors in the destination countries affect migration movements, and how subjective push factors affect migration aspirations, we know little about the interrelationship between subjective and objective factors. This paper therefore examines how people's perceptions of their political, economic and social structural environment affect their migration aspirations and to what extent these perceptions are determined by the objective situation in a country. Accounting for individual perceptions is important because individuals may be affected by structural factors to different degrees, and their knowledge of the objective situation may vary. Perceptions may also be affected by individuals' norms and values as well as people's different expectations. This study is based on data from Round 7 of the Afrobarometer survey, fielded between 2016 and 2018 in 34 African countries. Our findings show that positive perceptions of the structural environment are related to lower migration aspirations and that this relationship is only partly dependent on the objective situation in a country.     

Egyptian international labor migration and social processes: toward regional integration

This article reviews evidence that contemporary Egyptian international labor migration to oil-rich Arab countries has followed a classic social process which starts with a homo economicus phase, advances into a goal reorientation phase, and ends with the establishment of diaspora communities in destination societies. The history of Egyptian migration, current estimates of migration, the role of Egyptians in selected Arab countries, and emergent processes all were found to support the predictions of the social process model. Particularly important support comes from the finding that all social classes participated in this migration. For 1982, the Ministry for Foreign Affairs, based on individual consulate figures, reported 2.9 million migrants in oil-rich countries. Conclusions suggest the likelihood that Egyptian migration processes will promote economic and perhaps social integration in the region.     

Migration Motives of University Students: An Empirical Research

The main aim of this paper is to analyse the motives affecting the migration decisions of young people, particularly university students. Two scales were developed for measuring the perception of the importance of these motives. The data used in the research were collected via a survey of the opinions and attitudes of university students in Osijek, in June 2010. The paper also analyses psychometric properties of the scales – their dimensionality and reliability. The results of a confirmatory factor analysis undoubtedly indicate that both scales are multidimensional constructs. A combination of the results of t‐tests for an independent sample, factor analysis (exploratory and confirmatory) and reliability analysis suggest that emigration and stay motives are two sides of the same migration decision, and that they can be classified into several factors: the economic situation, social networks, insider advantages (that can be divided into inherited amenities and public‐safety conditions) and the wealth of opportunities. Depending on the power of the initial and target destination, the factors can function as ‘push’ or ‘pull’ factors. The results of the study show social networks as being the only ‘pull’ factor for the city of Osijek, whereas the other factors, especially the economic ones, proved to demonstrate the ‘push’ effect. However, the effects of all factors were very mild.     

Occupational Destinations and Economic Mobility of Filipino Overseas Workers1

This study examines employment and occupational shifts experienced by Filipino overseas contract workers in the transition from country of origin to country of destination and examines the impact of labor migration on economic conditions and standard of living of the families left behind. Data for the analyses were obtained from a representative sample of 2,346 households drawn from four primary sending areas in the Philippines. The analyses focus on characteristics of the households and of the household members employed overseas. The findings reveal that a considerable number of overseas workers (both men and women) were unemployed prior to migration and that the overwhelming majority of these workers were recruited to fill low‐status (manual and service) occupations in the host country. The analysis demonstrates that the odds for Filipino overseas workers to be employed in low‐status occupations were extremely high, net of human capital characteristics, net of the occupations they held in the Philippines, and net of country of destination. Further analysis reveals that overseas employment is associated with a substantial increase in earnings (five‐fold for men and four‐fold for women). Comparison between households with and without overseas workers reveals that, net of household characteristics, the flows of income earned abroad are used to purchase household goods to improve standard of living. These findings provide firm support to expectations derived from the household theory of migration according to which labor migration is a strategy adopted by the household unit to allocate family resources rationally to increase the flows of income in order to raise the family standard of living.     

Income expectations,rural-urban migration and employment in Africa

This article develops a theoretical framework explaining the influence of economic conditions on rural-urban migration in tropical Africa. The model explains the continued process of migration despite high levels of urban unemployment. A lengthy discussion is devoted to short-, intermediate-, and long-term policies for relieving the urban unemployment problem. It is argued that efforts must be made to reduce the differences between the expectation of urban income and real rural income. No one single policy will slow rural-to-urban migration. The author suggests policies that would eliminate factor-price distortions, restrain urban wages, redirect development toward concentrated and comprehensive programs of rural development, resettle and repatriate unemployed urban migrants, and establish capital-goods industries. The capital-goods industries would develop labor-intensive technologies for agriculture and industry. The theoretical model assumes that migrants make decisions about moving on the basis of an expected income and the expectation of an urban job. It is argued that the urban-rural income differences and the probability of securing an urban job determine the rate and extent of rural-urban migration in Africa. If the migrant has a low probability of finding regular wage employment in the short term, but expects the probability to increase over time, the migrant would make a rational decision to migrate. Policies that operate solely on urban labor demand are considered unlikely to reduce urban unemployment. This model better estimates the shadow prices of rural labor.     

A little bit more evidence of lottery regressivity: The Kansas State Lottery

This paper examines the existence of regressivity at the Kansas State Lottery using county level data. The classic t-test is used to test if the mean per capita bet in classes, defined as being below or above the median state income, are the same. The results show that the means of the per capita bets are not statistically different. Another test directly tests regressivity using the mean of bets expressed as a percentage of income. The results show that lower income counties bet more as a percentage of income. The second test also defines classes as being below or above the median educational level, labor force participation rate, employment rate, unemployment rate, population density, percentage white and the population size. The results show that Kansas runs a regressive lottery.I would like to thank Robert Cherry, Michael Grossman and Richard Sage for comments and suggestions made during the analysis of this paper. The research assistance of Allan Markowitz and Christopher Mobilia is gratefully acknowledged.     

Labor Market Impact of Migration: Employment Structures and the Case of Greece1

The impact of migration on the labor markets of host countries has fueled research and policy debates. While the impact of migration on the employment opportunities and wages of natives has come under extensive focus, another dimension of labor market impact of migration apparent in the case of Greece, the relations under which work is performed, has attracted less attention. The prevalence of family‐based forms of production and the relatively limited extent of waged employment have log made Greece an outlier with respect to European employment structures. However, much of the work previously carried out within the framework of the family is now undertaken by migrants for wages. This substitution of unpaid family labor by migrant wage‐labor is contributing to the convergence of Greek employment structures with those of other countries of the European Union.     

Internal Migration in Spain: Dealing with Multilateral Resistance and Nonlinearites

This article investigates the determinants of internal mobility of both foreigners and natives across Spanish provinces over the decade 2004‐14. Building on an extended gravity model, our econometric strategy controls for multilateral resistance to migration by including different fixed effects structures. Additionally, the article allows for some nonlinearities in the key economic determinants of migration, wages and unemployment. The main finding is that the impact of economic factors on internal migration is higher for foreigners than for natives; furthermore, the effect of these factors on internal migration is clearly nonlinear for the group of natives, while this only happens for foreigners when dyadic fixed effects of origin‐destination are considered. Finally, the article shows that the nature of the amenities with the greatest impact on internal movements differs between the two groups: foreigners look for social services and cultural amenities, whereas natives are more attracted by good climate conditions.     

THE CREDIT‐CHANNEL TRANSMISSION MECHANISM AND THE NONLINEAR GROWTH AND WELFARE EFFECTS OF INFLATION AND TAXES

With the credit‐channel effect driven by the central bank's open market operations, this paper's model easily gives rise to the nonlinear inflation‐growth nexus, which is evidenced by a number of cross‐country empirical studies. The threshold level of the inflation rate is found to be lower when tax rates are higher. The presence of the credit‐channel effect also provides the rationale for setting positive (and smaller than 1) tax rates on consumption, labor income, and capital income. The optimal tax rates rise as the inflation target declines. Under a fiscal policy rule where labor and capital income taxes move proportionally to each other, the optimal capital income tax rate could be higher than the optimal labor income tax rate. Under a sufficiently large central bank balance sheet, the credit‐channel effect will be so weak that inflation and all kinds of taxes are growth and welfare repressing. This provides a rationale for central banks that have implemented quantitative easing policies to shrink their balance sheets. (JEL E58, E62, O42)     

Cohort size effects and migration

"This article explores whether changes in the size of [U.S.] cohorts entering the labor force affect the propensity to migrate and the socioeconomic circumstances of migrants at destination. The flow of young in-migrants to large SMSAs declined during the 1965-76 period, but the relative socioeconomic standing of migrants at destination was unaffected by either cohort size or regional differentials in economic growth. It is suggested that a significant reduction in the volume of migration among members of the baby boom cohort was the primary adjustment mechanism, hence reducing the need for degrading the opportunities available to migrants."