WAGE GAPS AND MIGRANTION COSTS: AN ANALYSIS FROM SIMULATION DATA

Borjas (1987, 1991 and 1994) developed the self-selection theory, applying Roy’s model (1951) to migration studies. He establishes that the characteristics of migrants in terms of skills and abilities are driven by wage distribution differences between the host country and home. In this regard, when the country of origin has higher relative returns for skills and more disperse income distribution, a negative selection of migrants is generated, and vice versa. A great deal of literature has studied Self-selection model to analyse how wage distribution influences migrants’ decisions, leading to consistent and inconsistent results. Given the conflicting results in the literature, this paper examines how migration costs and wage differences influence self-selection patterns –i.e. skills in terms of schooling levels. Taking into account that self-selection can not be studied systematically by means of standard data sources because of the lack of data, we propose an analytical model based on the individual investment decision theory (Human Capital theory), applying simulated data by Monte-Carlo method. The theory of individual investment decisions allows us to analyze self-selection patterns across differences in wages and economic conditions at home and in host countries and to introduce uncertainty using a stochastic framework. An empirical application for long-distant migrations –from Ecuador to Spain– is implemented. Our findings show that migrants are positively selected on observable skills between Spain and Ecuador, considering both constant direct migration costs and constant direct migration costs-plus-variable opportunity migration costs. Secondary data from official sources confirm this tendency.

Modelling of Learning Styles in Relation to University- level Lectures

Throughout this paper we seek to demonstrate the practicality of obtaining an approximate model of the relationship between a score that determines the learning styles of a student and the results obtained in a specific University-level lecture. The study considered the voluntary participation of over six hundred students from “Escuela Politécnica Nacional” of Ecuador (EPN). The Index of Learning Styles model was used to establish the various learning styles of the students. The analysis of the results considers the linear correlation and the correlation distance