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Trade, migration costs and asymmetric migration patterns

Author

Listed:
  • Rajat Acharyya
  • Hamid Beladi
  • Saibal Kar

Abstract

Increase in trade has an asymmetric impact on emigration by skill types for a developing country. Cost of migration is a dynamic function of the type of emigration, and it determines a complementary relation between emigration of skilled workers and expansion of trade. Emigration of unskilled workers is a substitute, however, and these outcomes coexist with endogenously determined emigration rates that depend crucially on wage responses among the own skill types at the source. Additionally, asymmetric emigration patterns increase wage inequality.

Suggested Citation

  • Rajat Acharyya & Hamid Beladi & Saibal Kar, 2019. "Trade, migration costs and asymmetric migration patterns," The World Economy, Wiley Blackwell, vol. 42(9), pages 2629-2648, September.
    • Handle: RePEc:bla:worlde:v:42:y:2019:i:9:p:2629-2648
    DOI: 10.1111/twec.12832
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    Cited by:

    1. Shrimoyee Ganguly, 2022. "Reverse migration and exports at extensive margin: case of a small dependent economy," Indian Economic Review, Springer, vol. 57(2), pages 321-348, December.
    2. Shrimoyee Ganguly & Rajat Acharyya, 2021. "Emigration, Tax on Remittances and Export Quality," South Asian Journal of Macroeconomics and Public Finance, , vol. 10(1), pages 40-71, June.

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