The effect of emigration on home-country political institutions

The number of immigrants from developing countries living in richer, more developed countries has increased substantially during the last decades. At the same time, the quality of institutions in developing countries has also improved. The data thus suggest a close positive correlation between average emigration rates and institutional quality. Recent empirical literature investigates whether international migration can be an important factor for institutional development. Overall, the findings indicate that emigration to institutionally developed countries induces a positive effect on home-country institutions

Migration-induced Transfers of Norms. The case of Female Political Empowerment

It is recognized that affirmative action, as anti-discriminatory policies whose aim is to benefit an underrepresented group, is a key driver of progress for women. However, the role of migrants in helping female voice from abroad has not been addressed yet. This paper empirically investigates the effect of international migration on the parliamentary participation of women left behind following the brand new strand of literature on ‘transfers of norms’. Panel data from 1960 to 2000 allows us to take into account selection due to women’s eligibility, observed and unobserved heterogeneity. After having controlled for traditional political and non political factors, we show that total international migration to countries with higher female political empowerment significantly increases the female parliamentary shares in sending countriesWomen’s empowerment, Transfers of norms, International Migration, Panel Data, Sample Selection

Remittances and Financial Openness

Remittances have greatly increased during recent years, becoming an important and reliable source of funds for many developing countries. Therefore, there is a strong incentive for receiving countries to attract more remittances, especially through formal channels that turn to be either less expensive or less risky. One way of doing so is to increase their financial openness, but this policy option might generate additional costs in terms of macroeconomic volatility. In this paper we investigate the link between remittance receipts and financial openness. We develop a small model and statistically test for the existence of such a relationship with a sample of 66 mostly developing countries from 1980-2005. Empirically we use a dynamic generalized ordered logit model to deal with the categorical nature of the financial openness policy. We apply a two-step method akin to two stage least squares to deal with the endogeneity of remittances and potential measurement errors. We find a strong positive statistical and economic effect of remittances on financial openness.remittances, financial openness, government policy

Remittances and Financial Openness

Remittances have greatly increased during recent years, becoming an important and reliable source of funds for many developing countries. Therefore, there is a strong incentive for receiving countries to attract more remittances, especially through formal channels that turn to be either less expensive or less risky. One way of doing so is to increase their financial openness, but this policy option might generate additional costs in terms of macroeconomic volatility. In this paper we investigate the link between remittance receipts and financial openness. We develop a small model and statistically test for the existence of such a relationship with a sample of 66 mostly developing countries from 1980-2005. Empirically we use a dynamic generalized ordered logit model to deal with the categorical nature of the financial openness policy. We apply a two-step method akin to two stage least squares to deal with the endogeneity of remittances and potential measurement errors. We find a strong positive statistical and economic effect of remittances on financial openness.remittances, nancial openness, government policy

Diaspora Externalities as a Cornerstone of the New Brain Drain Literature

The pace of international skilled migration has accelerated during recent decades and it has attracted considerable attention across scholars and politicians. This paper gives a general and critical idea of the brain drain issue. It provides stylized facts on the magnitude and skill composition of migration and explores the main findings on brain drain. Then it focuses on diaspora networks and on the major channels whereby they foster economic development in source countries. Some policy implications and general conclusion for future research are also given in the last part of the work.brain drain, migration, diaspora

Attracting skilled immigrants: an overview of recent policy developments in advanced countries

In this paper we review the policies put in place by the main Western destination countries to attract highly skilled migrants. Two main systems can be identified. On the one hand, employer-driven schemes typically call for the migrant to meet a set of minimum skill requirements and to have a job offer before a work visa can be issued. On the other, employee driven schemes typically do not require a job offer, and instead select the migrant based on a set of characteristics chosen by the policy maker. Employer driven schemes are the dominant policy tool in the sample of countries we consider in the analysis, and only Australia, Canada and New Zealand have made employee-driven schemes the mainstay of their skill selective immigration policy. The preliminary evidence we review suggests that the latter are more effective in increasing the skill level of the immigrant population, and casts doubts on the usefulness of new initiatives like the EU blue card that are still based on an employer driven system

Emigration and Democracy

Migration is an important and yet neglected determinant of institutions. The paper documents the channels through which emigration affects home country institutions and considers dynamic-panel regressions for a large sample of developing countries. We find that emigration and human capital both increase democracy and economic freedom. This implies that unskilled (skilled) emigration has a positive (ambiguous) impact on institutional quality. Simulations show an impact of skilled emigration that is generally positive, significant for a few countries in the short run and for many countries in the long run once incentive effects of emigration on human capital formation are accounted for.Migration, Institutions, Democracy, Diaspora Effects, Brain Drain

Emigration and democracy

Migration is an important and yet neglected determinant of institutions. The paper documents the channels through which emigration affects home country institutions and considers dynamic-panel regressions for a large sample of developing countries. We fi…nd that emigration and human capital both increase democracy and economic freedom. This implies that unskilled (skilled) emigration has a positive (ambiguous) impact on institutional quality. Simulations show an impact of skilled emigration that is generally positive, signi…cant for a few countries in the short run and for many countries in the long run once incentive effects of emigration on human capital formation are accounted for.Migration, institutions, democracy, diaspora effects, brain drain.

Emigration and Democracy

Migration is an important and yet neglected determinant of institutions. The paper documents the channels through which emigration affects home country institutions and considers dynamic-panel regressions for a large sample of developing countries. We find that emigration and human capital both increase democracy and economic freedom. This implies that unskilled (skilled) emigration has a positive (ambiguous) impact on institutional quality. Simulations show an impact of skilled emigration that is generally positive, significant for a few countries in the short run and for many countries in the long run once incentive effects of emigration on human capital formation are accounted for.migration, institutions, democracy, diaspora effects, brain drain

Emigration and democracy

Migration is an important yet neglected determinant of institutions. This paper documents the channels through which emigration affects home country institutions and considers dynamic-panel regressions for a large sample of developing countries. The authors find that emigration and human capital both increase democracy and economic freedom. This implies that unskilled (skilled) emigration has a positive (ambiguous) impact on institutional quality. Simulations show an impact of skilled emigration that is generally positive, significant for a few countries and for many countries once incentive effects of emigration on human capital formation are accounted for.Population Policies,Economic Theory&Research,International Migration,Human Migrations&Resettlements,Voluntary and Involuntary Resettlement