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Nonmarket networks among migrants: evidence from metropolitan Bangkok, Thailand

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  • Futoshi Yamauchi
  • Sakiko Tanabe

Abstract

"This paper examines nonmarket interactions among migrants from same origins in the urban labor market of Bangkok, Thailand. We test whether the labor-market performance of previous migrants has externalities to that of new migrants who moved from the same province of origin. Our empirical results, which control origin fixed effects, time-fixed effects, and origin/year-specific correlated shocks, show that (1) the relative size of the migrant population in the market decreases employment probabilities of new migrants (negative substitution effect), (2) the employment probability of previous migrants increases those of new migrants (positive externalities), and (3) when the employment probability of previous migrants approaches to unity, the size effect becomes positive, showing informational scale economies. The results imply that the positive informational scale effect dominates the negative substitution effect when the efficiency of previous migrants is sufficiently high in the labor market." Authors' Abstract
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Suggested Citation

  • Futoshi Yamauchi & Sakiko Tanabe, 2008. "Nonmarket networks among migrants: evidence from metropolitan Bangkok, Thailand," Journal of Population Economics, Springer;European Society for Population Economics, vol. 21(3), pages 649-664, July.
    • Handle: RePEc:spr:jopoec:v:21:y:2008:i:3:p:649-664
    DOI: 10.1007/s00148-006-0072-0
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    Citations

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    Cited by:

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    2. Baert, Stijn & Cockx, Bart, 2013. "Pure ethnic gaps in educational attainment and school to work transitions: When do they arise?," Economics of Education Review, Elsevier, vol. 36(C), pages 276-294.
    3. Enrique Fernández-Macías & Rafael Grande & Alberto Rey Poveda & José-Ignacio Antón, 2015. "Employment and Occupational Mobility among Recently Arrived Immigrants: The Spanish Case 1997–2007," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 34(2), pages 243-277, April.
    4. Kudo, Yuya, 2012. "Returns to migration : the role of educational attainment in rural Tanzania," IDE Discussion Papers 322, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    5. Mano, Yukichi & Yamano, Takashi & Suzuki, Aya & Matsumoto, Tomoya, 2011. "Local and Personal Networks in Employment and the Development of Labor Markets: Evidence from the Cut Flower Industry in Ethiopia," World Development, Elsevier, vol. 39(10), pages 1760-1770.
    6. Lu, Yi & Xie, Huihua & Xu, Lixin Colin, 2016. "Telecommunication externality on migration: Evidence from Chinese villages," China Economic Review, Elsevier, vol. 39(C), pages 77-90.
    7. Ying Pan, 2011. "Born with The Right Surname: Lineage Networks and Political and Economic Opportunities in Rural China," Departmental Working Papers 2011-15, Department of Economics, Louisiana State University.
    8. Ali Berker, 2010. "The Labor Market Consequences of Internal Migration in Turkey," Koç University-TUSIAD Economic Research Forum Working Papers 1029, Koc University-TUSIAD Economic Research Forum.
    9. Ali Berker, 2011. "Labor-Market Consequences of Internal Migration in Turkey," Economic Development and Cultural Change, University of Chicago Press, vol. 60(1), pages 197-239.

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    More about this item

    Keywords

    Networks; Migrants; Bangkok; J21; J61; O15;
    All these keywords.

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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