IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/21682.html
   My bibliography  Save this paper

On a Variation in the Economic Performance of Migrants by their Home Country's Wage

Author

Listed:
  • Stark, Oded

Abstract

Although the economic performance of migrants in the receiving country undoubtedly depends on qualifications, it is also affected by inclinations. Given the probability of return migration, a behavioural link is established between the incentive of migrants to save in their country of destination and the prevailing wage rate in their home country. It is shown that migrants coming from a low-wage country optimally save more than migrants from a high-wage country. Policy and research implications suggested by this savings behaviour are alluded to.

Suggested Citation

  • Stark, Oded, 2002. "On a Variation in the Economic Performance of Migrants by their Home Country's Wage," MPRA Paper 21682, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:21682
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/21682/1/MPRA_paper_21682.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Oded Stark & Christian Helmenstein & Yury Yegorov, 1997. "Migrants' Savings, Purchasing Power Parity, and the Optimal Duration of Migration," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 4(3), pages 307-324, July.
    2. Galor, Oded & Stark, Oded, 1991. "The Impact of Differences in the Levels of Technology on International Labor Migration," Journal of Population Economics, Springer;European Society for Population Economics, vol. 4(1), pages 1-12, March.
    3. Galor, Oded & Stark, Oded, 1990. "Migrants' Savings, the Probability of Return Migration and Migrants' Performance," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 31(2), pages 463-467, May.
    4. Merkle, Lucie & Zimmermann, Klaus F., 1992. "Savings, remittances, and return migration," Economics Letters, Elsevier, vol. 38(1), pages 77-81, January.
    5. Schaeffer, Peter V, 1995. "The Work Effort and the Consumption of Immigrants as a Function of Their Assimilation," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 36(3), pages 625-642, August.
    6. Carroll, Christopher D & Rhee, Byung-Kun & Rhee, Changyong, 1999. "Does Cultural Origin Affect Saving Behavior? Evidence from Immigrants," Economic Development and Cultural Change, University of Chicago Press, vol. 48(1), pages 33-50, October.
    7. Galor, Oded & Stark, Oded, 1991. "The probability of return migration, migrants' work effort, and migrants' performance," Journal of Development Economics, Elsevier, vol. 35(2), pages 399-405, April.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Steve Boucher & Oded Stark & J. Edward Taylor, 2009. "A Gain with a Drain? Evidence from Rural Mexico on the New Economics of the Brain Drain," International Economic Association Series, in: János Kornai & László Mátyás & Gérard Roland (ed.), Corruption, Development and Institutional Design, chapter 6, pages 100-119, Palgrave Macmillan.
    2. Oded Stark, 2006. "Status Aspirations, Wealth Inequality, and Economic Growth," Review of Development Economics, Wiley Blackwell, vol. 10(1), pages 171-176, February.
    3. Mduma, John K. & Wobst, Peter, 2005. "Village Level Labor Market Development in Tanzania: Evidence from Spatial Econometrics," Discussion Papers 276260, University of Bonn, Center for Development Research (ZEF).
    4. Stark, Oded & You Qiang Wang, 2002. "A Theory of Self-Segregation as a Response to Relative Deprivation," Royal Economic Society Annual Conference 2002 168, Royal Economic Society.
    5. Abdallah, Jumanne & Sauer, Johannes, 2005. "Efficiency and Biodiversity – Empirical Evidence from Tanzania," Discussion Papers 276264, University of Bonn, Center for Development Research (ZEF).
    6. Oded Stark, 2007. "Work Effort, Moderation in Expulsion, and Illegal Migration," Review of Development Economics, Wiley Blackwell, vol. 11(4), pages 585-590, November.
    7. Mouawiya Al-Awad & Adam Elhiraika, 2003. "Cultural Effects and Savings: Evidence from Immigrants to the United Arab Emirates," Journal of Development Studies, Taylor & Francis Journals, vol. 39(5), pages 139-151.
    8. Zimmermann, Roukayatou & Ahmed, Faruk, 2006. "Rice Biotechnology and Its Potential to Combat Vitamin A Deficiency: A Case Study of Golden Rice in Bangladesh," Discussion Papers 276268, University of Bonn, Center for Development Research (ZEF).
    9. Stark, Oded & Wang, You Qiang, 2005. "Towards a Theory of Self-Segregation as a Response to Relative Deprivation: Steady-State Outcomes and Social Welfare," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, pages 223-242.

    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. Jellal, Mohamed, 2014. "Diaspora et comportement économique en incertitude [Diaspora and economic behavior under uncertainty]," MPRA Paper 57236, University Library of Munich, Germany.
    2. Deborah Cobb-Clark & Steven Stillman, 2008. "Emigration and the Age Profile of Retirement Among Immigrants," RF Berlin - CReAM Discussion Paper Series 0815, Rockwool Foundation Berlin (RF Berlin) - Centre for Research and Analysis of Migration (CReAM).
    3. Sayema H. Bidisha, 2008. "Saving Behaviour of the Immigrants and Ethnic Minorities in the UK: Evidence from Panel Data," Discussion Papers 08/08, University of Nottingham, School of Economics.
    4. Thomas Bauer & Mathias Sinning, 2011. "The savings behavior of temporary and permanent migrants in Germany," Journal of Population Economics, Springer;European Society for Population Economics, vol. 24(2), pages 421-449, April.
    5. Dustmann, Christian, 1997. "Return migration, uncertainty and precautionary savings," Journal of Development Economics, Elsevier, vol. 52(2), pages 295-316, April.
    6. Osili, Una Okonkwo, 2007. "Remittances and savings from international migration: Theory and evidence using a matched sample," Journal of Development Economics, Elsevier, vol. 83(2), pages 446-465, July.
    7. Karayalcin, Cem, 1994. "Temporary and permanent migration with and without an immobile factor," Journal of Development Economics, Elsevier, vol. 43(2), pages 197-215, April.
    8. Thomas Bauer & Mathias Sinning, 2005. "The Savings Behavior of Temporary and Permanent Migrants in Germany," RWI Discussion Papers 0029, Rheinisch-Westfälisches Institut für Wirtschaftsforschung.
    9. repec:zbw:rwidps:0029 is not listed on IDEAS
    10. François-Charles Wolff & Mohamed Jellal, 2003. "International migration and human capital formation," Economics Bulletin, AccessEcon, vol. 15(10), pages 1-8.
    11. Misuraca, Roberta & Zimmermann, Klaus, 2024. "Migration and Consumption," MERIT Working Papers 2024-006, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    12. Jellal, Mohamed & Bouzahzah, Mohamed, 2012. "Diaspora parité du pouvoir d'achat incertitude et épargne," MPRA Paper 38746, University Library of Munich, Germany.
    13. Catalina Amuedo‐Doranles & Susan Pozo, 2002. "Precautionary Saving by Young Immigrants and Young Natives," Southern Economic Journal, John Wiley & Sons, vol. 69(1), pages 48-71, July.
    14. Dean Yang, 2006. "Why Do Migrants Return to Poor Countries? Evidence From Philippine Migrants%u2019 Responses to Exchange Rate Shocks," NBER Working Papers 12396, National Bureau of Economic Research, Inc.
    15. repec:ebl:ecbull:v:15:y:2003:i:10:p:1-8 is not listed on IDEAS
    16. Emmanuel Thibault, 2001. "Labor immigration and long-run welfare in a growth model with heterogenous agents and endogenous labor supply," Journal of Population Economics, Springer;European Society for Population Economics, vol. 14(2), pages 391-407.
    17. repec:zbw:rwirep:0109 is not listed on IDEAS
    18. Elke Holst & Andrea Schäfer & Mechthild Schrooten, 2010. "Gender, Transnational Networks and Remittances: Evidence from Germany," SOEPpapers on Multidisciplinary Panel Data Research 296, DIW Berlin, The German Socio-Economic Panel (SOEP).
    19. Dustmann, Christian & Kirchkamp, Oliver, 2002. "The optimal migration duration and activity choice after re-migration," Journal of Development Economics, Elsevier, vol. 67(2), pages 351-372, April.
    20. Lee, Sang-Hyop & Sukrakarn, Nopparat & Choi, Jin-Young, 2011. "Repeat migration and remittances: Evidence from Thai migrant workers," Journal of Asian Economics, Elsevier, vol. 22(2), pages 142-151, April.
    21. Asad Islam & Jaai Parasnis, 2022. "Heterogeneous effects of health shocks in developed countries: Evidence from Australia," Southern Economic Journal, John Wiley & Sons, vol. 89(2), pages 471-495, October.
    22. Kirdar, Murat, 2009. "Source Country Characteristics and Immigrants’ Migration Duration and Saving Decisions," MPRA Paper 13322, University Library of Munich, Germany.
    23. Alvaro Morcillo & Rashmi Bhat, 2013. "Return migration to South Africa: reasons and socioeconomic profile," NCID Working Papers 03/2013, Navarra Center for International Development, University of Navarra.

    More about this item

    Keywords

    no keywords;

    JEL classification:

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

    Statistics

    Access and download statistics

    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:pra:mprapa:21682. 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: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.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.