This article reviews the economics literature on the impacts of forced migration. The literature is divided into two parts: impacts on forced migrants and impacts on host communities. Studies exploring the impact of forced migration due to WWII suggest that the long-term impact is often positive. The literature for developing countries suggests that there are serious consequences of forced migration for those forced to migrate. These consequences range from worse labour market outcomes to less consumption smoothing. The impact on host communities seems to be mixed and there are winners and losers. The article provides suggestions for future research.
This paper uses panel Granger causality tests to study the relationship between sector specific FDI and CO 2 emissions. Using a sample of 18 Latin American countries for the 1980-2007 period, we find causality running from FDI in polluting intensive industries ("the dirty sector") to CO 2 emissions per capita. This result is robust to controlling for other factors associated with CO 2 emissions and using the ratio of CO 2 emissions to GDP. For other sectors, we find no robust evidence that FDI causes CO 2 emissions.
During the 1990s the Kagera region of Tanzania experienced a forced migration shock. A series of geographical barriers led to a higher concentration of forced migrants in some parts of the region relative to others, resulting in a natural experiment. Using panel data (pre and post forced migration shock), we find that greater exposure to the refugee shock resulted in Tanzanians having a lower likelihood of working outside the household as employees. However, employees more affected by the shock had a higher probability of being in professional occupations and being part of a pensions program.
This paper examines the impact of crime and insecurity on support for and satisfaction with democracy and trust in institutions. We use survey data from the Latin American Public Opinion Project (LAPOP) for Colombia during the 2004-2010 period. We find that perceptions of insecurity, crime victimization, being asked for a bribe and being affected by the armed conflict have a negative significant effect on satisfaction with democracy and trust in public institutions. Our findings show an important indirect channel through which crime can hinder development because distrust in institutions is associated with lower levels of social capital.
Using 2010-2017 data we compare the labour market outcomes of refugees (those who migrated to seek asylum), natives (UK-born), and other migrants in the UK (work, study and family migrants). The results indicate that refugees are less likely to be employed and earn less than natives and other migrants. The evidence suggests that differences in health status (particularly mental health) may be one of the factors that partly explain these gaps. Employment growth of refugees between 2010 and 2016 was significantly higher than that of other migrants, but this was not the case for earnings.
The findings show that the prevalence of health problems differs not only between natives and immigrants but also across groups of immigrants who moved to the UK for different reasons.
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