IDEAS home Printed from https://ideas.repec.org/a/aiy/journl/v3y2017i2p90-102.html
   My bibliography  Save this article

The impact of migrant labors on Russian economy: production function approach

Author

Listed:
  • Jabbar, J. B.

Abstract

Over the past few decades, the major flow of labor migrants coming to Russia happened because of higher wage, employment, and similar culture. This paper explored the direct economic contribution of labor migrants in Russian national income through their productivity performance. This empirical study analyzed the impact of migrants on the growth of GDP using Cobb Douglas production approach through linear transformation from the logarithmic form and showed the positive consequences of labor migrants in Russian economy. The study conducted quantitative analysis that was an anticipated outcome from a model which was being created to determine how much migrant workers contributed to the Russian economy which have been successful through the lenses of national income. All data in this study used a repository of 15 years of data from 2000 to 2014 that were collected yearly. The main data sources of this study are Russian Federal State Statistics Service, the World Bank data source and FRED Economic Data. This paper also investigated the heteroscedasticity and endogeneity test among the variables in order to check the robustness of the regression results of the first model. The study introduced a new instrument variable that was constructed with the ratio of GDP per capita in Russia and GDP per capital in the source countries. After that the instrument was implemented into the previous model through two stage least square method. Therefore, the statistical analysis of this empirical research inferred that migrants have a positive impact on Russian’s economy resulted about 10% of national income which has significant growth due to migrants’ employment.

Suggested Citation

  • Jabbar, J. B., 2017. "The impact of migrant labors on Russian economy: production function approach," R-Economy, Ural Federal University, Graduate School of Economics and Management, vol. 3(2), pages 90-102.
    • Handle: RePEc:aiy:journl:v:3:y:2017:i:2:p:90-102
    DOI: 10.15826/recon.2017.3.2.011
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10995/49619
    Download Restriction: no
    File URL: https://libkey.io/10.15826/recon.2017.3.2.011?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Hansjörg Herr, 2009. "The labour market in a Keynesian economic regime: theoretical debate and empirical findings," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 33(5), pages 949-965, September.
    2. Mari Kangasniemi & Matilde Mas & Catherine Robinson & Lorenzo Serrano, 2012. "The economic impact of migration: productivity analysis for Spain and the UK," Journal of Productivity Analysis, Springer, vol. 38(3), pages 333-343, December.
    3. Stigler, George J., 2011. "Economics of Information," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, vol. 5, pages 35-49.
    4. Kangasniemi, Mari & Mas, Matilde & Robinson, Catherine & Serrano, Lorenzo, 2009. "The Economic Impact of Migration: Productivity Analysis for Spain and the United Kingdom," MPRA Paper 17212, University Library of Munich, Germany.
    5. Bonin, Holger, 2005. "Wage and Employment Effects of Immigration to Germany: Evidence from a Skill Group Approach," IZA Discussion Papers 1875, Institute of Labor Economics (IZA).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dr Max Nathan, 2013. "The wider economic impacts of high-skilled migrants: a survey of the literature," National Institute of Economic and Social Research (NIESR) Discussion Papers 413, National Institute of Economic and Social Research.
    2. Wulong Gu & Feng Hou & Garnett Picot, 2020. "Immigration and firm productivity: evidence from the Canadian Employer-Employee Dynamics Database," Journal of Productivity Analysis, Springer, vol. 54(2), pages 121-137, December.
    3. Alexandra M. Espinosa & Ignacio Díaz-Emparanza, 2021. "The Long-term Relationship Between International Labour Migration and Unemployment in Spain," Journal of International Migration and Integration, Springer, vol. 22(1), pages 145-166, March.
    4. Giulia Bettin & Alessia Lo Turco & Daniela Maggioni, 2014. "A firm level perspective on migration: the role of extra-EU workers in Italian manufacturing," Journal of Productivity Analysis, Springer, vol. 42(3), pages 305-325, December.
    5. Sanchis-Guarner, Rosa, 2023. "Decomposing the impact of immigration on house prices," Regional Science and Urban Economics, Elsevier, vol. 100(C).
    6. Baldoni, Edoardo & Coderoni, Silvia & Esposti, Roberto, 2018. "Immigrant workforce and labour productivity in Italian agriculture: a farm-level analysis," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 6(3), May.
    7. Mariachiara Barzotto & Giancarlo Corò & Ilaria Mariotti & Marco Mutinelli, 2019. "Ownership and workforce composition: a counterfactual analysis of foreign multinationals and Italian uni-national firms," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 46(4), pages 581-607, December.
    8. LSE Enterprise,, 2011. "Study on the impact of the single market on cohesion: implications for cohesion policy, growth and competitiveness," LSE Research Online Documents on Economics 42840, London School of Economics and Political Science, LSE Library.
    9. Deahoon Nahm & Massimiliano Tani, 2015. "Skilled immigrants' contribution to productive efficiency," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 20(4), pages 594-612, October.
    10. Amaia Palencia-Esteban, 2022. "Immigration, childcare and gender differences in the Spanish labor market," Working Papers 610, ECINEQ, Society for the Study of Economic Inequality.
    11. Saffiah Mohd Nor & Zahariah Sahudin & Geetha Subramaniam, 2023. "The Effects of Health, Labor and Capital towards Labor Productivity in Manufacturing Industries," Information Management and Business Review, AMH International, vol. 15(1), pages 121-130.
    12. Peter Huber & Gabriele Tondl, 2012. "Migration and regional convergence in the European Union," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 39(4), pages 439-460, November.
    13. Alessandra Michelangeli & Nicola Pontarollo & Giuseppe Vittucci Marzetti, 2019. "Ethnic minority concentration: A source of productivity growth for Italian provinces?," Papers in Regional Science, Wiley Blackwell, vol. 98(1), pages 17-34, February.
    14. Xiaoxi Wang & Yaojun Zhang & Danlin Yu & Xiwei Wu & Ding Li, 2022. "Changes in Demographic Factors’ Influence on Regional Productivity Growth: Empirical Evidence from China, 2000–2010," Sustainability, MDPI, vol. 14(7), pages 1-19, April.
    15. Paweł Strzelecki & Jakub Growiec & Robert Wyszyński, 2022. "The contribution of immigration from Ukraine to economic growth in Poland," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 158(2), pages 365-399, May.
    16. Xiaoshi Zhou & Wanglin Ma & Gucheng Li, 2018. "Draft Animals, Farm Machines and Sustainable Agricultural Production: Insight from China," Sustainability, MDPI, vol. 10(9), pages 1-16, August.
    17. Daniel Rauhut & Birgit Aigner-Walder & Rahel M. Schomaker, 2023. "Economic Theory and Migration," Springer Books, in: The Economics of Immigration Beyond the Cities, chapter 0, pages 21-50, Springer.
    18. Gui Ye & Yuhe Wang & Yuxin Zhang & Liming Wang & Houli Xie & Yuan Fu & Jian Zuo, 2019. "Impact of Migrant Workers on Total Factor Productivity in Chinese Construction Industry," Sustainability, MDPI, vol. 11(3), pages 1-18, February.
    19. Manuel González Gómez & Mª Soledad Otero Giráldez, 2017. "The causality between economic growth and immigration in EU/EFTA member states," Working Papers 1701, Universidade de Vigo, Departamento de Economía Aplicada.
    20. Clark, Ken & Drinkwater, Stephen & Robinson, Catherine, 2014. "Migration, Economic Crisis and Adjustment in the UK," IZA Discussion Papers 8410, Institute of Labor Economics (IZA).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aiy:journl:v:3:y:2017:i:2:p:90-102. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Irina Turgel (email available below). General contact details of provider: https://edirc.repec.org/data/seurfru.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.