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International Job Search: Mexicans in and out of the U.S

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Author Info
Silvio Rendon () (Centro de Investigacion Economica (CIE), Instituto Tecnologico Autonomo de Mexico (ITAM))
Alfredo Cuecuecha () (Centro de Investigacion Economica (CIE), Instituto Tecnologico Autonomo de Mexico (ITAM))

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Abstract

It is argued that migration from Mexico to the US and return migration are determined by international wage differentials and preferences for origin. We use a model of job search, savings and migration to show that job turnover is a crucial determinant of the migration process. We estimate this model by Simulated Method of Moments (SMM) and find that migration practically disappears if Mexico has American arrival rates while employed. Doubling migration costs reduces migration rates in half, while subsidizing return migration in $300 reduces migration rates of older migrants but increases migration rates of younger migrants.

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File URL: http://ftp.itam.mx/pub/academico/inves/cuecuecha/07-09.pdf
File Format: application/pdf
File Function: First version, 2007
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Publisher Info
Paper provided by Centro de Investigacion Economica, ITAM in its series Working Papers with number 0709.

Download reference. The following formats are available: HTML, plain text, BibTeX, RIS (EndNote), ReDIF
Length: 37 pages
Date of creation: Dec 2007
Date of revision:
Handle: RePEc:cie:wpaper:0709

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Related research
Keywords: International Migration Job Search Job Turnover Savings Structural Estimation

Other versions of this item:

Find related papers by JEL classification:
F22 - International Economics - - International Factor Movements and International Business - - - International Migration
J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search
E20 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - General (includes Measurement and Data)

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References listed on IDEAS
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  1. Rendon Sílvio, 2006. "Job Search And Asset Accumulation Under Borrowing Constraints ," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 47(1), pages 233-263, 02. [Downloadable!] (restricted)
    Other versions:
  2. Bencivenga, Valerie R & Smith, Bruce D, 1997. "Unemployment, Migration, and Growth," Journal of Political Economy, University of Chicago Press, vol. 105(3), pages 582-608, June.
    Other versions:
  3. Francine D. Blau & Lawrence M. Kahn, 2005. "Gender and Assimilation Among Mexican Americans," NBER Working Papers 11512, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Angel Calderon Madrid, 2000. "Job Stability and Labor Mobility in Urban Mexico: A Study Based on Duration Models and Transition Analysis," RES Working Papers 3117, Inter-American Development Bank, Research Department. [Downloadable!]
  5. Mark G. Guzman & Joseph H. Haslag & Pia M. Orrenius, 2004. "Accounting for fluctuations in social network usage and migration dynamics," Working Papers 04-02, Federal Reserve Bank of Dallas. [Downloadable!]
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  6. Hill, John K., 1987. "Immigrant decisions concerning duration of stay and migratory frequency," Journal of Development Economics, Elsevier, vol. 25(1), pages 221-234, February. [Downloadable!] (restricted)
  7. Hendricks, Lutz, 2001. "The Economic Performance of Immigrants: A Theory of Assortative Matching," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 42(2), pages 417-49, May.
    Other versions:
  8. Borjas, George J & Bratsberg, Bernt, 1996. "Who Leaves? The Outmigration of the Foreign-Born," The Review of Economics and Statistics, MIT Press, vol. 78(1), pages 165-76, February. [Downloadable!] (restricted)
    Other versions:
  9. Corinne Deléchat, 2001. "International Migration Dynamics: The Role of Experience and Social Networks," LABOUR, CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd, vol. 15(3), pages 457-486, 09. [Downloadable!] (restricted)
  10. Dustmann, Christian, 1997. "Return migration, uncertainty and precautionary savings," Journal of Development Economics, Elsevier, vol. 52(2), pages 295-316, April. [Downloadable!] (restricted)
  11. Dustmann, Christian, 2003. "Return migration, wage differentials, and the optimal migration duration," European Economic Review, Elsevier, vol. 47(2), pages 353-369, April. [Downloadable!] (restricted)
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  12. repec:att:wimass:192037 is not listed on IDEAS
  13. Alice Mesnard, 2004. "Temporary migration and capital market imperfections," Oxford Economic Papers, Oxford University Press, vol. 56(2), pages 242-262, April. [Downloadable!] (restricted)
  14. James J. Heckman & Carmen Pages, 2000. "The Cost of Job Security Regulation: Evidence from Latin American Labor Markets," NBER Working Papers 7773, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  15. Aydemir, Abdurrahman & Robinson, Chris:University of Western Ontario, 2006. "Return and Onward Migration Among Working Age Men," Analytical Studies Branch Research Paper Series 2006273e, Statistics Canada, Analytical Studies Branch. [Downloadable!]
  16. Katz, Eliakim & Stark, Oded, 1987. "International Migration under Asymmetric Information," Economic Journal, Royal Economic Society, vol. 97(387), pages 718-26, September. [Downloadable!] (restricted)
  17. Djajic, Slobodan & Milbourne, Ross, 1988. "A general equilibrium model of guest-worker migration : The source-country perspective," Journal of International Economics, Elsevier, vol. 25(3-4), pages 335-351, November. [Downloadable!] (restricted)
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