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The Selection of Migrants and Returnees in Romania: Evidence and long-run implications

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  • Giovanni Peri
  • William Ambrosini
  • Karin Mayr
  • Dragos Radu

    (Department of Economics, University of California Davis)

Abstract

This paper uses census and survey data to identify the wage earning ability and the selection of recent Romanian migrants and returnees. We construct measures of selection across skill groups and estimate the average and the skill-specific premium for migration and return for three typical destinations of Romanian migrants after 1990. Once we account for migration costs, we find evidence that the selection and sorting of migrants by skills is driven by different returns in countries of destination. We also find that the return premium increases with migrants' skills and this drives the positive selection of returnees relative to non-migrants. As these findings are consistent with a model of rational choice in the migration decisions, we simulate a rational-agent model of education, migration and return. Our results suggest that for a source country like Romania relatively high rates of temporary migration might have positive long-run effects on average skills and wages.

Suggested Citation

  • Giovanni Peri & William Ambrosini & Karin Mayr & Dragos Radu, 2012. "The Selection of Migrants and Returnees in Romania: Evidence and long-run implications," Working Papers 136, University of California, Davis, Department of Economics.
    • Handle: RePEc:cda:wpaper:136
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    Cited by:

    1. Aurelian-Petruş PLOPEANU & Daniel HOMOCIANU, 2020. "Why would Romanian migrants from Western Europe return to their country of origin? Abstract: After conducting a survey among Romanian individuals left abroad, we analyze the particular influences rela," Eastern Journal of European Studies, Centre for European Studies, Alexandru Ioan Cuza University, vol. 11, pages 211-235, June.
    2. Ngoc Thi Minh Tran & Michael P. Cameron & Jacques Poot, 2017. "Local Institutional Quality and Return Migration: Evidence from Vietnam," Working Papers in Economics 17/10, University of Waikato.
    3. Jackline Wahba, 2015. "Selection, selection, selection: the impact of return migration," Journal of Population Economics, Springer;European Society for Population Economics, vol. 28(3), pages 535-563, July.
    4. Augustin de Coulon & Dragos Radu & Max Friedrich Steinhardt, 2016. "Pane e Cioccolata: The Impact of Native Attitudes on Return Migration," Review of International Economics, Wiley Blackwell, vol. 24(2), pages 253-281, May.
    5. Amelie F. Constant, 2019. "Return, Circular, and Onward Migration Decisions in a Knowledge Society," CESifo Working Paper Series 7913, CESifo.
    6. Amelie F. Constant, 2020. "Time-Space Dynamics of Return and Circular Migration: Theories and Evidence," CESifo Working Paper Series 8053, CESifo.
    7. Kahanec, Martin & Zimmermann, Klaus F., 2016. "Post-Enlargement Migration and the Great Recession in the E(M)U: Lessons and policy implications," MERIT Working Papers 2016-066, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    8. Nelly Elmallakh & Jackline Wahba, 2022. "Return migrants and the wage premium: does the legal status of migrants matter?," Journal of Population Economics, Springer;European Society for Population Economics, vol. 35(4), pages 1631-1685, October.
    9. Lídia Farré, 2016. "New evidence on the healthy immigrant effect," Journal of Population Economics, Springer;European Society for Population Economics, vol. 29(2), pages 365-394, April.
    10. Daniela Andrén & Monica Roman, 2016. "Should I Stay or Should I Go? Romanian Migrants During Transition and Enlargements," Springer Books, in: Martin Kahanec & Klaus F. Zimmermann (ed.), Labor Migration, EU Enlargement, and the Great Recession, pages 247-269, Springer.
    11. Mihaela Misheva, 2021. "Return Migration and Institutional Change: The Case of Bulgaria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 4, pages 187-202.
    12. Kureková, Lucia Mýtna & Žilin?íková, Zuzana, 2016. "What is the Value of Foreign Work Experience? Analysing Online CV Data in Slovakia," IZA Discussion Papers 9921, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    Selection of Migrants; Migration Premium; Returnees;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • 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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