Full-text resources of CEJSH and other databases are now available in the new Library of Science.
Visit https://bibliotekanauki.pl

PL EN


2020 | 62 | 121-135

Article title

The economic effects of emigration: a literature review

Content

Title variants

PL
Ekonomiczne skutki emigracji: przegląd literatury

Languages of publication

EN

Abstracts

EN
Despite great policy, social and economic relevance, the consequences of international population movements for the sending countries remain relatively under-researched. Migration economics has so far focused mostly on the impact of immigration, trying to explain how the movement of people affects the economic situation of the countries that receive migrants. Studies on the source economies are mostly empirical and analyse the effects of outward population movements on local labour markets, and in particular the wages of those who stay behind, as well as the consequences of brain drain. This paper conducts a review of the literature on the economic impacts of migration movements. It presents the current state of knowledge and main findings from existing empirical and theoretical studies, focusing on five areas: consequences of brain drain, implications for wages of non-migrants, role of the remittances sent by emigrants to the home countries, fiscal effects and welfare consequences. We describe different approaches used so far in the literature to evaluate the effects of emigrants on nonmigrants, focusing both on the methodology, findings and limitations. The article also tries to identify gaps in the existing literature, as well as the potential directions for future research. Finally, we place special emphasis on the consequences of population movements following the 2004 EU enlargement, and particularly, on the emigration from Poland as the largest economy entering the EU in 2004.
PL
Choć międzynarodowe przypływy ludności mają znaczący wpływ na wiele płaszczyzn życia politycznego, społecznego i ekonomicznego, to wciąż relatywnie niewiele wiadomo o ich konsekwencjach dla krajów wysyłających migrantów. Zdecydowana większość pozycji literatury ekonomicznej poświęconych ruchom migracyjnym skupia się na konsekwencjach imigracji i próbuje wyjaśnić, jak mobilność ludności wpływa na sytuację ekonomiczną panującą w kraju przyjmującym migrantów. Mniej liczne badania o krajach wysyłających, to w głównej mierze prace empiryczne, które mają na celu analizę skutków odpływu ludności dla lokalnego ryneku pracy, a w szczególności płace w krajach wysyłających emigrantów, oraz konsekwencje „drenażu mózgów”. Niniejszy artykuł dokonuje syntetycznego przeglądu literatury emigracyjnej. Podsumowuje on obecny stan wiedzy oraz wnioski z istniejących teoretycznych i empirycznych badań nad konsekwencjami emigracji, skupiając się na pięciu obszarach: konsekwencjach drenażu mózgów, implikacjach dla poziomu płac niemigrantów, skutkach napływu przekazów pieniężnych, efektach fiskalnych oraz efektach dobrobytowych. Opracowanie przybliża różne podejścia wykorzystywane w literaturze ekonomicznej do analizy konsekwencji migracji dla krajów wysyłających, koncentrując się przy tym zarówno na zastosowanych narzędziach, otrzymanych wynikach, jak i ograniczeniach wykorzystanych podejść, a także stara się naświetlić istniejące w literaturze luki i możliwe kierunki dalszych badań. W pracy dużą uwagę poświęcono także tematyce przepływów ludności po rozszerzeniu Unii Europejskiej w 2004 r., a w szczególności emigracji z Polski, czyli największej gospodarki wstępującej w tym roku do wspólnoty.

Contributors

  • Institute of Economics Polish Academy of Sciences

References

  • Anniste, K., Tammaru, T., Pungas, E., Paas, T. (2012). Emigration After EU Enlargement: Was There A Brain Drain Effect In The Case Of Estonia? Faculty of Economics and Business Administration Working Paper Series, 87, Tartu: University of Tartu.
  • Arslan, C., Dumont, J.-C., Kone, Z., Moullan, Y., Ozden, C., Parsons, C., Xenogiani, T. (2015). A New Profile of Migrants in the Aftermath of the Recent Economic Crisis. OECD Social, Employment and Migration Working Papers, 160, OECD Publishing.
  • Atoyan, R., Christiansen, L., Dizioli, A., Ebeke, C., Ilahi, N., Ilyina, A., Mehrez, G., Qu, H., Raei, F., Rhee, A. (2016). Emigration and Its Economic Impact on Eastern Europe. IMF Staff Discussion Note, SDN/16/07, International Monetary Fund.
  • Aubry, A., Burzyński, M., Docquier, F. (2016). The welfare impact of global migration in OECD countries. Journal of International Economics, 101(C), 1–21. DOI: 10.1016/j.jinteco.2016.03.005.
  • Aydemir, A., Borjas, G. J. (2007). Cross-country variation in the impact of international migration: Canada, Mexico, and the united states. Journal of the European Economic Association, 5(4), 663–708. DOI: 10.1162/JEEA.2007.5.4.663.
  • Baas, T., Brücker, H., Hauptmann, A. (2010). Labor mobility in the enlarged EU: Who wins, who loses? In: M. Kahanec, K. F. Zimmermann (Eds.), EU Labor Markets After Post-Enlargement Migration (pp. 47–70). Berlin, Heidelberg: Springer Berlin Heidelberg. DOI: 10.1007/978-3-642-02242-5_2.
  • Barbone, L., Piętka-Kosińska, K., Topińska, I. (2012). The Impact of Remittances on Poland’s Economy. CASE Network E-briefs. Retrieved from: http://www.case-research.eu/sites/default/files/publications/2012-12_Barbone.pdf (2020.04.21).
  • Barslund, M., Busse, M., Vargas-Silva, C., Kaczmarczyk, P., Baas, T., Peinado, M. I., Jimeno, J. F., Lacuesta, A., Galgóczi, B., Leschke, J. (2014). Labour mobility in the EU: Dynamics, patterns and policies. Intereconomics, 49(3), 116–158. DOI: 10.1007/s10272-014-0495-x.
  • Batista, C., Lacuesta, A., Vicente, P. C. (2012). Testing the ‘brain gain’ hypothesis: Micro evidence from Cape Verde. Journal of Development Economics, 97(1), 32–45. DOI:10.1016/j.jdeveco.2011.01.005.
  • Beine, M., Docquier, F., Rapoport, H. (2001). Brain drain and economic growth: theory and evidence. Journal of Development Economics, 64(1), 275–289. DOI: 10.1016/S0304-3878(00)00133-4.
  • Bhagwati, J., Hamada, K. (1974). The brain drain, international integration of markets for professionals and unemployment: A theoretical analysis. Journal of Development Economics, 1(1), 19–42. DOI: 10.1016/0304-3878(74)90020-0.
  • Bhagwati, J., Rodriguez, C. (1975). Welfare-theoretical analyses of the brain drain. Journal of Development Economics, 2(3), 195–221. DOI: 10.1016/0304-3878(75)90002-4.
  • Bhagwati, J. N., Wilson, J. D. (1989). Income Taxation and International Mobility. The MIT Press.
  • Biavaschi, C., Burzyński, M., Elsner, B., Machado, J. (2020). Taking the skill bias out of global migration. Journal of Development Economics, 142, 102317. DOI: 10.1016/j.jdeveco.2018.12.006.
  • Borjas, G. J. (1994). The Economics of Immigration. Journal of Economic Literature, 32(4), 1667–1717.
  • Büchel, F., Frick, J. R. (2005). Immigrants’ economic performance across Europe – does immigration policy matter? Population Research and Policy Review, 24(2), 175–212. DOI: 10.1007/s11113-004-1370-4.
  • Budnik, K. (2008). Search Equilibrium with Migration: the Case of Poland. NBP Working Papers, 45.Warszawa: Narodowy Bank Polski, Economic Research Department.
  • Busch, C., Krueger, D., Ludwig, A., Popova, I., Iftikhar, Z. (2020). Should Germany Have Built a New Wall? Macroeconomic Lessons from the 2015–18 Refugee Wave. NBER Working Papers, 26973. National Bureau of Economic Research, Inc.
  • Caliendo, L., Opromolla, L. D., Parro, F., Sforza, A. (2017). Goods and Factor Market Integration: A Quantitative Assessment of the EU Enlargement. NBER Working Papers, 23695. National Bureau of Economic Research, Inc.
  • Chami, R., Ernst, E., Fullenkamp, C., Oeking, A. (2018). Are Remittances Good for Labor Markets in LICs, MICs and Fragile States? IMF Working Papers, 18/102. International Monetary Fund.
  • Chiswick, B. R. (1978). The Effect of Americanization on the Earnings of Foreign-born Men. Journal of Political Economy, 86(5), 897–921.
  • Clemens, M. A. (2011). Economics and Emigration: Trillion-Dollar Bills on the Sidewalk? Journal of Economic Perspectives, 25(3), 83–106. DOI: 10.1257/jep.25.3.83.
  • Desai, M. A., Kapur, D., McHale, J., Rogers, K. (2009). The fiscal impact of high-skilled emigration: Flows of Indians to the U.S. Journal of Development Economics, 88(1), 32–44. DOI: 10.1016/j.jdeveco.2008.01.008.
  • di Giovanni, J., Levchenko, A. A., Ortega, F. (2015). A global view of cross-border migration. Journal of the European Economic Association, 13(1), 168–202. DOI: 10.1111/jeea.12110.
  • Dinkelman, T., Mariotti, M. (2016). The Long-Run Effects of Labor Migration on HumanCapital Formation in Communities of Origin. American Economic Journal: AppliedEconomics, 8(4), 1–35. DOI: 10.1257/app.20150405.
  • Docquier, F., Ozden, C., Peri, G. (2014). The labour market effects of immigration and emigration in OECD countries. The Economic Journal, 124(579), 1106–1145. DOI: DOI.org/10.1111/ecoj.12077.
  • Dustmann, C., Fadlon, I., Weiss, Y. (2011). Return migration, human capital accumulation and the brain drain. Journal of Development Economics, 95(1), 58–67. DOI: 10.1016/j.jdeveco.2010.04.006.
  • Dustmann, C., Frattini, T., Rosso, A. (2015). The Effect of Emigration from Poland on Polish Wages. Scandinavian Journal of Economics, 117(2), 522–564. DOI: 10.1111/sjoe.12102.
  • Dustmann, C., Schönberg, U., Stuhler, J. (2016). The Impact of Immigration: Why Do Studies Reach Such Different Results? Journal of Economic Perspectives, 30(4),m 31–56. DOI: 10.1257/jep.30.4.31.
  • Dustmann, C., Preston, I. (2012). Comment: Estimating the effect of immigration on wages. Journal of the European Economic Association, 10(1), 216–223. DOI: 10.1111/j.1542-4774.2011.01056.x.
  • Elsner, B. (2013a). Does emigration benefit the stayers? Evidence from EU enlargement. Journal of Population Economics, 26(2), 531–553. DOI: 10.1007/s00148-012-0452-6.
  • Elsner, B. (2013b). Emigration and wages: The EU enlargement experiment. Journal of International Economics, 91(1), 154–163. DOI: 10.1016/j.jinteco.2013.06.002.
  • Fihel, A., Kaczmarczyk, P., Okólski, M. (2006). Labour Mobility in the Enlarged European Union. International Migration from the EU8 countries. CMR Working Paper, 14/72, Centre of Migration Research.
  • Grigorian, D. A., Melkonyan, T. A. (2011). Destined to receive: The impact of remittances on household decisions in Armenia. Review of Development Economics, 15(1), 139–153. DOI: j.1467-9361.2010.00598.x.
  • Grubel, H. B., Scott, A. D. (1966). The international flow of human capital. The American Economic Review, 56(1/2), 268–274.
  • Han, K. J. (2013). Saving public pensions: Labor migration effects on pension systems in European countries. The Social Science Journal, 50(2), 152–161. DOI: 10.1016/j.soscij.2012.12.001.
  • Hanson, G. (2007). Emigration, labor supply and earnings in Mexico. In: G. J. Borjas (Ed.), Mexican Immigration to the United States (pp. 289–328). Chicago: University of Chicago Press.
  • Hazans, M., Philips, K. (2011). The Post-Enlargement Migration Experience in the Baltic Labor Markets. IZA Discussion Papers, 5878. Institute of Labor Economics (IZA).
  • Johansson, L. M. (2008). Fiscal Implications of Emigration. Degit conference paper.
  • Johnson, H. G. (1972). Labour Mobility and the Brain Drain. London: Palgrave Macmillan UK. DOI: 10.1007/978-1-349-15456-2_16.
  • Kaczmarczyk, P., Mioduszewska, M., Żylicz, A. (2010). Impact of the post-accession migration on the polish labor market. In: M. Kahanec, K. F. Zimmermann (Eds.), EU Labor Markets After Post-Enlargement Migration (pp. 219–253). Berlin, Heidelberg: Springer Berlin Heidelberg. DOI: 10.1007/978-3-642-02242-5_9.
  • Kaczmarczyk, P., Okólski, M. (2008). Demographic and labour market impacts of migration on Poland. Oxford Review of Economic Policy, 24(3), 599–624. DOI: 10.1093/oxrep/grn029.
  • Karin, M., Giovanni, P. (2009). Brain Drain and Brain Return: Theory and Application to Eastern-Western Europe. The B.E. Journal of Economic Analysis & Policy, 9(1), 1–52. DOI: 10.2202/1935-1682.2271.
  • Karlstrom, U. (1985). Economic growth and migration during the industrialization of Sweden: A general equilibrium approach. Stockholm: Stockholm School of Economics, Economic Research Institute.
  • Kerr, S. P., Kerr, W. R. (2011). Economic Impacts of Immigration: A Survey. Finnish Economic Papers, 24(1), 1–32.
  • Kim, N. (2007). The Impact Of Remittances On Labor Supply: The Case Of Jamaica. Policy Research Working Papers, 2007/02/01, The World Bank.
  • Kindler, M. (2018). Poland’s Perspective on the Intra-European Movement of Poles. Implications and Governance Responses. In: P. Scholten, M. van Ostaijen (Eds.), Between Mobility and Migration (pp. 183–204). IMISCOE Research Series. Springer, Cham. DOI: 10.1007/978-3-319-77991-1_10.
  • Klein, P., Ventura, G. (2009). Productivity differences and the dynamic effects of labor movements. Journal of Monetary Economics, 56(8), 1059–1073. DOI: 10.1016/j.jmoneco.2009.10.011.
  • Lehmer, F., Ludsteck, J. (2015). Wage assimilation of foreigners: Which factors close the gap? evidence from Germany. Review of Income and Wealth, 61(4), 677–701. DOI: 10.1111/roiw.12124.
  • Lessem, R., Sanders, C. (2020). Immigrant Wage Growth in the United States: The Role of Occupational Upgrading. International Economic Review. DOI: 10.1111/iere.12445.
  • Lucas, R. E. (1988). On the mechanics of economic development. Journal of Monetary Economics, 22(1), 3–42. DOI: 10.1016/0304-3932(88)90168-7.
  • Mandelman, F. S., Zlate, A. (2012). Immigration, remittances and business cycles. Journal of Monetary Economics, 59(2), 196–213. DOI: 10.1016/j.jmoneco.2012.01.004.
  • Marchiori, L., Shen, I.-L., Docquier, F. (2013). Brain Drain In Globalization: A General Equilibrium Analysis From The Sending Countries’ Perspective. Economic Inquiry, 51(2), 1582–1602. DOI: 10.1111/j.1465-7295.2012.00492.x.
  • Mishra, P. (2007). Emigration and wages in source countries: Evidence from Mexico. Journal of Development Economics, 82(1), 180–199. DOI: 10.1016/j.jdeveco.2005.09.002.
  • Mountford, A. (1997). Can a brain drain be good for growth in the source economy? Journal of Development Economics, 53(2), 287–303. DOI: 10.1016/S0304-3878(97)00021-7.
  • Okkerse, L. (2008). How to measure labour market effects of immigration: a review. Journal of Economic Surveys, 22(1), 1–30. DOI: 10.1111/j.1467-6419.2007.00533.x.
  • O’Rourke, K. (1995). Emigration and living standards in Ireland since the famine. Journal of Population Economics, 8(4), 407–421. DOI: 10.1007/BF00180876.
  • Posso, A. (2012). Remittance and aggregate labor supply: evidence from sixty-six developing nations. The Developing Economies, 50(1), 25–39. DOI: 10.1111/j.1746-1049.2011.00153.x.
  • Rapoport, H., Docquier, F. (2005). The Economics of Migrants’ Remittances. IZA Discussion Papers, 1531, Institute of Labor Economics (IZA).
  • Razin, A., Sadka, E. (1998). Migration and Pension. NBER Working Papers, 6778, National Bureau of Economic Research, Inc.
  • Scharfbillig, M., Weissler, M. (2019). Heterogeneous displacement effects of migrant labor supply – quasi-experimental evidence from Germany. Working Papers, 1910, Gutenberg School of Management and Economics, Johannes Gutenberg Universität Mainz.
  • Shrestha, S. A. (2017). No man left behind: Effects of emigration prospects on educational and labour outcomes of non-migrants. The Economic Journal, 127(600), 495–521. DOI: 10.1111/ecoj.12306.
  • Stark, O., Helmenstein, C., Prskawetz, A. (1997). A brain gain with a brain drain. Economics Letters, 55(2), 227–234. DOI: 10.1016/S0165-1765(97)00085-2.
  • Storesletten, K. (2003). Fiscal Implications of Immigration-A Net Present Value Calculation. Scandinavian Journal of Economics, 105(3), 487–506. DOI: 10.1111/1467-9442.t01-2-00009.
  • Thaut, L. (2009). EU integration & emigration consequences: The case of Lithuania. International Migration, 47(1), 191–233. DOI: 10.1111/j.1468-2435.2008.00501.x.
  • Zaiceva, A. (2014). Post-enlargement emigration and new EU members’ labor markets. IZA World of Labor (pp. 1–40). DOI: 10.15185/izawol.40.

Document Type

Publication order reference

Identifiers

YADDA identifier

bwmeta1.element.desklight-9d050c74-bf53-4291-aa41-533023e757d4
JavaScript is turned off in your web browser. Turn it on to take full advantage of this site, then refresh the page.