IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/68542.html
   My bibliography  Save this paper

The Determinants of International Migration in Pakistan: New Evidence from Combined Cointegration, Causality and Innovative Accounting Approach

Author

Listed:
  • Ahad, Muhammad

Abstract

This study investigates the determinants of international migration over the period of 1980-2013 for Pakistan. In order to investigate the relationship between migration, inflation, remittances and unemployment, we have applied Bayer-Hanck combined cointegration to test whether a long run relationship exists between variables or not. The results predict that series are stationary at 1st difference and cointegration exist among variables. VECM Granger causality explains that inflation, remittances and unemployment cause migration in both short and long run. Variance Decomposition Approach shows that unemployment has highest share in explaining migration and migration also has highest share in explaining unemployment in both short run and long run. Policy maker should focus on reduction of unemployment by promoting real sector economic activates to control international migration.

Suggested Citation

  • Ahad, Muhammad, 2015. "The Determinants of International Migration in Pakistan: New Evidence from Combined Cointegration, Causality and Innovative Accounting Approach," MPRA Paper 68542, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:68542
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/68542/1/MPRA_paper_68542.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Rotte, Ralph & Vogler, Michael, 1998. "Determinants of International Migration: Empirical Evidence for Migration from Developing Countries to Germany," CEPR Discussion Papers 1920, C.E.P.R. Discussion Papers.
    2. Solimano, Andrés, 2002. "Globalizing talent and human capital: implications for developing countries," Macroeconomía del Desarrollo 5376, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    3. Everett Lee, 1966. "A theory of migration," Demography, Springer;Population Association of America (PAA), vol. 3(1), pages 47-57, March.
    4. Elliott, Graham & Rothenberg, Thomas J & Stock, James H, 1996. "Efficient Tests for an Autoregressive Unit Root," Econometrica, Econometric Society, vol. 64(4), pages 813-836, July.
    5. Roel Jennissen, 2003. "Economic Determinants of Net International Migration in Western Europe," European Journal of Population, Springer;European Association for Population Studies, vol. 19(2), pages 171-198, June.
    6. Anna Mayda, 2010. "International migration: a panel data analysis of the determinants of bilateral flows," Journal of Population Economics, Springer;European Society for Population Economics, vol. 23(4), pages 1249-1274, September.
    7. repec:ulb:ulbeco:2013/7748 is not listed on IDEAS
    8. Matthew Sanderson, 2010. "International Migration and Human Development in Destination Countries: A Cross-National Analysis of Less-Developed Countries, 1970–2005," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 96(1), pages 59-83, March.
    9. Engle, Robert & Granger, Clive, 2015. "Co-integration and error correction: Representation, estimation, and testing," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 39(3), pages 106-135.
    10. Ekaterina Sprenger, 2013. "The Determinants of International Migration in the European Union: An Empirical Analysis," Working Papers 325, Leibniz Institut für Ost- und Südosteuropaforschung (Institute for East and Southeast European Studies).
    11. Michel Beine & Christopher Parsons, 2015. "Climatic Factors as Determinants of International Migration," Scandinavian Journal of Economics, Wiley Blackwell, vol. 117(2), pages 723-767, April.
    12. Peter Boswijk, H., 1994. "Testing for an unstable root in conditional and structural error correction models," Journal of Econometrics, Elsevier, vol. 63(1), pages 37-60, July.
    13. Johansen, Soren, 1991. "Estimation and Hypothesis Testing of Cointegration Vectors in Gaussian Vector Autoregressive Models," Econometrica, Econometric Society, vol. 59(6), pages 1551-1580, November.
    14. Mekonnen Beyene, Berhe, 2011. "Determinants of Internal and International Migration in Ethiopia," Memorandum 24/2011, Oslo University, Department of Economics.
    15. Alberto del Rey Poveda, 2007. "Determinants and consequences of internal and international migration," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 16(10), pages 287-314.
    16. repec:ulb:ulbeco:2013/13418 is not listed on IDEAS
    17. Serena Ng & Pierre Perron, 2001. "LAG Length Selection and the Construction of Unit Root Tests with Good Size and Power," Econometrica, Econometric Society, vol. 69(6), pages 1519-1554, November.
    18. Christian Bayer & Christoph Hanck, 2013. "Combining non-cointegration tests," Journal of Time Series Analysis, Wiley Blackwell, vol. 34(1), pages 83-95, January.
    19. Jesús Crespo Cuaresma & Mathias Moser & Anna Raggl, 2013. "On the Determinants of Global Bilateral Migration Flows. WWWforEurope Working Paper No. 5," WIFO Studies, WIFO, number 46849.
    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. Sidra Feroz & Bushra Yasmin, 2021. "Terrorism and Brain Drain in Pakistan: Is There a Connection?," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 22(1), pages 73-87, March.
    2. Riffat Rehman & Muqaddas Mazhar & Sadia Khan & Humaira Waseem, 2021. "Causes of Rural-Urban Migration and Its Effect on Quality of Life," ILMA Journal of Social Sciences & Economics (IJSSE), Ilma University, Faculty of Management Science, vol. 1(1), pages 34-48.
    3. Serhat Yüksel & Shahriyar Mukhtarov & Ceyhun Mahmudlu & Jeyhun I. Mikayilov & Anar Iskandarov, 2018. "Measuring International Migration in Azerbaijan," Sustainability, MDPI, vol. 10(1), pages 1-15, January.
    4. Bakari, Sayef, 2022. "The Impact of Digitalization and Patent on Economic Growth in Romania," MPRA Paper 113951, University Library of Munich, Germany.
    5. Nusrat Mahnoor & Yasmin Bushra, 2022. "Reinforcing Effect of Terrorism and Corruption Nexus on Net Migration from Developing Countries: An Empirical Analysis," Zagreb International Review of Economics and Business, Sciendo, vol. 25(2), pages 65-83.

    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. Muzammil, Muhammad, 2015. "Impact of Financial Development on Trade Balance: An ARDL Cointegration and Causality Approach for Pakistan," MPRA Paper 68587, University Library of Munich, Germany.
    2. Muhammad Ahad & Adeel Ahmad Dar, 2018. "A Dynamic Relationship between Financial Development and Import Demand for Bangladesh: An Evidence from Combine Cointegration and Granger Causality Approach," Global Business Review, International Management Institute, vol. 19(3), pages 543-555, June.
    3. Muhammad Ahad, 2017. "Financial Development and Money Demand Function: Cointegration, Causality and Variance Decomposition Analysis for Pakistan," Global Business Review, International Management Institute, vol. 18(4), pages 811-824, August.
    4. Yongliang Zhang & Md. Qamruzzaman & Salma Karim & Ishrat Jahan, 2021. "Nexus between Economic Policy Uncertainty and Renewable Energy Consumption in BRIC Nations: The Mediating Role of Foreign Direct Investment and Financial Development," Energies, MDPI, vol. 14(15), pages 1-29, August.
    5. Muhammad Ahad, 2017. "Impact of Financial Development on Trade Balance: An ARDL Cointegration and Causality Approach for Pakistan," Global Business Review, International Management Institute, vol. 18(5), pages 1199-1214, October.
    6. Muhammad Ahad, 2016. "Nexus between Income Inequality, Crime, Inflation and Poverty: NewEvidence fromStructural Breaksfor Pakistan," International Journal of Economics and Empirical Research (IJEER), The Economics and Social Development Organization (TESDO), vol. 4(3), pages 133-145, March.
    7. Amjad Ali & Nooreen Mujahid & Yahya Rashid & Muhammad Shahbaz, 2015. "Human Capital Outflow and Economic Misery: Fresh Evidence for Pakistan," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 124(3), pages 747-764, December.
    8. Muhammad Ahad & Adeel Ahmad Dar & Muhammad Imran, 2019. "Does Financial Development Promote Industrial Production in Pakistan? Evidence from Combined Cointegration and Causality Approach," Global Business Review, International Management Institute, vol. 20(2), pages 297-312, April.
    9. Ahad, Muhammad & Dar, Adeel Ahmad, 2017. "Modeling the Asymmetric Impact of Defense Spending on Economic Growth: An Evidence from Nonlinear ARDL and Multipliers," MPRA Paper 80085, University Library of Munich, Germany, revised 2017.
    10. Muhammad Shahbaz & Saleheen Khan & Amjad Ali & Mita Bhattacharya, 2017. "The Impact Of Globalization On Co2 Emissions In China," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 62(04), pages 929-957, September.
    11. Serhat Yüksel & Shahriyar Mukhtarov & Ceyhun Mahmudlu & Jeyhun I. Mikayilov & Anar Iskandarov, 2018. "Measuring International Migration in Azerbaijan," Sustainability, MDPI, vol. 10(1), pages 1-15, January.
    12. Md. Qamruzzaman, 2023. "Does Environmental Degradation-Led Remittances Flow? Nexus between Environmental Degradation, Uncertainty, Financial Inclusion and Remittances Inflows in India and China," International Journal of Energy Economics and Policy, Econjournals, vol. 13(2), pages 9-26, March.
    13. Yu Huan & Md. Qamruzzaman, 2022. "Innovation-Led FDI Sustainability: Clarifying the Nexus between Financial Innovation, Technological Innovation, Environmental Innovation, and FDI in the BRIC Nations," Sustainability, MDPI, vol. 14(23), pages 1-26, November.
    14. Muhammad Shahbaz & Ronald Ravinesh Kumar & Stanislav Ivanov & Nanthakumar Loganathan, 2017. "The nexus between tourism demand and output per capita with the relative importance of trade openness and financial development," Tourism Economics, , vol. 23(1), pages 168-186, February.
    15. Pierre Perron & Gabriel Rodríguez, "undated". "Residuals-based Tests for Cointegration with GLS Detrended Data," Boston University - Department of Economics - Working Papers Series wp2015-017, Boston University - Department of Economics, revised 19 Oct 2015.
    16. Debi P Bal & Badri N Rath, 2019. "Nonlinear causality between crude oil price and exchange rate: A comparative study of China and India - A Reassessment," Economics Bulletin, AccessEcon, vol. 39(1), pages 592-604.
    17. Shahbaz, Muhammad & Farhani, Sahbi & Ozturk, Ilhan, 2013. "Coal Consumption, Industrial Production and CO2 Emissions in China and India," MPRA Paper 50618, University Library of Munich, Germany, revised 12 Oct 2013.
    18. Xue, Pengcheng & Du, Jianhua & Liu, Jiaxin & Li, Zhipeng & Albahooth, Bayan & Yang, Yiting, 2023. "Natural resources and economic perspective: Manufacturing value added for Europe and Central Asian economies," Resources Policy, Elsevier, vol. 86(PA).
    19. Zhang, Yi & Zhang, Leilei & Yu, Hang & Tu, Yanhong, 2023. "Does Geopolitical risk drive natural resources extraction globally? A Case of Global," Resources Policy, Elsevier, vol. 82(C).
    20. Mahalik, Mantu Kumar & Babu, M. Suresh & Loganathan, Nanthakumar & Shahbaz, Muhammad, 2017. "Does financial development intensify energy consumption in Saudi Arabia?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 75(C), pages 1022-1034.

    More about this item

    Keywords

    Migration; Remittance; Unemployment; Cointegration; Innovative Accounting Approach; Pakistan.;
    All these keywords.

    JEL classification:

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

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:68542. 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.