Wealth Heterogeneity and the Income Elasticity of Migration

Bazzi, Samuel

doi:10.1257/app.20150548

Cited by 138 publications

(129 citation statements)

References 65 publications

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“…Our first stage showed that individuals are more likely to engage in internal migration in response to bad rainfall; poorer individuals may respond this way due to an insurance motive (Kleemans, ), which could lead to our empirical results. Alternatively, richer people may respond to poor rainfall due to lower opportunity costs at home (Bazzi, ), which would render the patterns here even more striking. In Table , we test whether contemporaneous rainfall shocks also create a pool of migrants who are less educated compared to most migrants by restricting our sample to migrants and regressing an indicator variable for high education on origin rainfall measures.…”

Section: Heterogeneity By Skill Levelmentioning

confidence: 99%

Labour Market Responses to Immigration: Evidence from Internal Migration Driven by Weather Shocks

Kleemans

Magruder

2017

The Economic Journal

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We study the labour market impact of internal migration in Indonesia by instrumenting migrant flows with rainfall shocks at the origin area. Estimates reveal that a one percentage point increase in the share of migrants decreases income by 0.97% and reduces employment by 0.24 percentage points. These effects are different across sectors: employment reductions are concentrated in the formal sector, while income reduction occurs in the informal sector. Negative consequences are most pronounced for low‐skilled natives, even though migrants are systematically highly skilled. We suggest that the two‐sector nature of the labour market may explain this pattern.

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Section: Heterogeneity By Skill Levelmentioning

confidence: 99%

Labour Market Responses to Immigration: Evidence from Internal Migration Driven by Weather Shocks

Kleemans

Magruder

2017

The Economic Journal

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“…Micro-level studies using individual and household data, and employing both cross-sectional and panel data approaches, have been often applied to countries highly dependent on the agricultural sector as the main source of income, such as Ecuador [86,87], Nigeria [76,88], Bangladesh and Ethiopia [53,83,89], Indonesia [68,90], and Tanzania [73].…”

Section: Micro-studies At the Individual And Household Levelmentioning

confidence: 99%

Climate Change, Agriculture and Migration: A Survey

2018

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This paper proposes a selective review of the classical economics-based literature on climate change and migration, focusing on the extent to which agriculture might be considered a key mediating channel linking climate change to migration. Overall, climate change is expected to have large and negative effects on the global economy. These effects are even more evident whenever the economic sector considered is the agricultural one, particularly in developing countries. Hence, migration can be viewed as a specific form of adaptation implemented by individuals and households, enabling them to cope, among other things, with weather-induced risk. We show that the importance of agriculture emerges from both plenty of micro-level country studies and relatively few macro-level analyses using cross-sectional data over longer time periods. Thus, policy actions targeted to sustainable agriculture and rural development can both help tackle the challenges posed by climate change and create opportunities in the face of growing migration issues. However, we also stress that much of the current evidence is based on statistical associations that have nothing to do with causal inferences. This calls for the use of a more structural approach and more sophisticated research designs, enabling the researchers to better discriminate among different mechanisms concurrently at work. In addition, further research should be addressed to the role played by food security, a complex dimension largely missing in the current debates on climate change and migration.

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“…and/or conflicts (see, among others, Paxson 1992;Munshi 2003;Miguel et al 2004;Giles and Yoo 2007;Yang and Choi 2007;Deschênes and Moretti 2009;Maccini and Yang 2009;Barrios et al 2010;Brückner 2010;Feng et al 2010;Pugatch and Yang 2010;Brückner and Ciccone 2011;Ciccone 2011;Dell et al 2012;Bazzi 2014). We add to this literature by demonstrating that temporary weather shocks are also a powerful predictor of immigrants' legal status.…”

mentioning

confidence: 80%

“…Our first strategy is based on the idea that higher levels of rainfall induce a positive and unexpected temporary income shock that allows those who would like to emigrate to cover the cost of an immediate illegal migration (rather than applying for the lengthy legal pathway). Drawing on earlier evidence that shows that weather conditions affect income in developing countries (see, e.g., Wolpin 1982;Paxson 1992;Miguel et al, 2004;Barrios et al, 2010;Brückner and Ciccone 2011;Bazzi 2014) we use weather shocks at the time of emigration as an instrument for legal status. We illustrate that these shocks have a strong effect on income in the emigration countries we consider, and that higher than average levels of rainfall are strong predictors of immigrants' current legal status.…”

Section: Introductionmentioning

confidence: 99%

Illegal Migration and Consumption Behavior of Immigrant Households

Dustmann

Fasani

Speciale

2017

Journal of the European Economic Association

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. We analyze the effect of immigrants' legal status on their consumption behavior using unique survey data that samples both documented and undocumented immigrants. To address the problem of sorting into legal status, we propose two alternative identification strategies as exogenous source of variation for current legal status: First, transitory income shocks in the home country, measured as rainfall shocks at the time of emigration. Second, amnesty quotas that grant legal residence status to undocumented immigrants. Both sources of variation create a strong first stage, and -although very different in nature -lead to similar estimates of the effects of illegal status on consumption, with undocumented immigrants consuming about 40% less than documented immigrants, conditional on background characteristics. Roughly one quarter of this decrease is explained by undocumented immigrants having lower incomes than documented immigrants. Our findings imply that legalization programs may have a potentially important effect on immigrants' consumption behavior, with consequences for both the source and host countries. Terms of use: Documents inJEL-Codes: F220, D120, K420.

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Wealth Heterogeneity and the Income Elasticity of Migration

Cited by 138 publications

References 65 publications

Labour Market Responses to Immigration: Evidence from Internal Migration Driven by Weather Shocks

Labour Market Responses to Immigration: Evidence from Internal Migration Driven by Weather Shocks

Climate Change, Agriculture and Migration: A Survey

Illegal Migration and Consumption Behavior of Immigrant Households

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