Trade, migration costs and asymmetric migration patterns
Increase in trade has an asymmetric impact on emigration by skill types for a developing country. Cost of migration is a dynamic function of the type of emigration, and it determines a complementary relation between emigration of skilled workers and expansion of trade. Emigration of unskilled worker...
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Published in | World economy Vol. 42; no. 9; pp. 2629 - 2648 |
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Main Authors | , , |
Format | Journal Article |
Language | English |
Published |
Oxford
Blackwell Publishing Ltd
01.09.2019
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Subjects | |
Online Access | Get full text |
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Summary: | Increase in trade has an asymmetric impact on emigration by skill types for a developing country. Cost of migration is a dynamic function of the type of emigration, and it determines a complementary relation between emigration of skilled workers and expansion of trade. Emigration of unskilled workers is a substitute, however, and these outcomes coexist with endogenously determined emigration rates that depend crucially on wage responses among the own skill types at the source. Additionally, asymmetric emigration patterns increase wage inequality. |
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ISSN: | 0378-5920 1467-9701 |
DOI: | 10.1111/twec.12832 |