Migration, trade, capital, and development: substitutes, complements, and policies

Abstract

The economic migration of people has lagged substantially behind that of capital and trade. That's largely because barriers to the movement of people remain high. Pressures for enhanced migration are rising, certainly in the less-developed origin (O) countries but also in some quarters of the more developed destination (D)countries. Migration presents the largest opportunity for additional global welfare gains. ; We will focus on migration and its interactions with the other elements of globalization as they impact development. In this context, we will find it useful to distinguish between the costs and benefits to the O and D countries while differentiating between the movement of skilled and unskilled migrants. The first section concentrates on the movement of the unskilled and its relation to the other dimensions of globalization, while the second attempts the same with respect to the skilled. The final section suggests some conclusions for policy within the same broad globalization framework.Emigration and immigration ; International trade ; Economic development ; Globalization ; Capital ; Human capital ; Developing countries ; Developed countries