Return Migration, Wage Differentials, and the Optimal Migration Duration

By Christian Dustmann. Social Science Research Network, 2003

463 citations recorded by the source corpus.

In simple static models, migration increases with the wage differential between host- and home-country. In a dynamic framework, and if migrations are temporary, the size of the migrant population in the host country depends also on the migration duration. This paper analyses optimal migration durations in a model which rationalises the decision of the migrant to return to his home country, despite persistently higher wages in the host country. The analysis shows that, if migrations are temporary, the optimal migration duration may decrease if the wage differential grows larger. Using micro data for Germany, the second part of the paper provides empirical evidence which is compatible with this hypothesis.

Subfields: Economics and Econometrics, Sociology and Political Science

View Paper: https://www.semanticscholar.org/paper/1bf8a110002583fdb2b9d858fbcd82c53bd91249

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Citations in the corpus

The Optimal Migration Duration and Activity Choice after Re-Migration (2002, background): “So far, theoretical models which investigate the determinants for return migration and the optimal migration duration (as in Dustmann, 1995, 1997, 2001; Stark et al., 1997) are based on the assumption that there is only one activity the migrant pursues after a return.”
Why Do Migrants Return to Poor Countries? Evidence from Philippine Migrants' Responses to Exchange Rate Shocks (2006, unknown): “Non-investors , on the other hand, have lifetime earnings that are too low to ever contemplate making a household 10The model has basic similarities with Stark, et al (1997), Dustmann (2003), and Mesnard (2004).”
The Impact of the Recent Migration from Eastern Europe on the UK Economy (2007, unknown): “The probability of a migrant returning to the state of origin within a year is about 13 per cent and the probability of moving to another location is 15 per cent (Devanzo, 1983 and Dustmann, 2003 ).”
Economic Impacts of Immigration: A Survey (2011, background): “Dustmann (1996, 2003) and Dustmann and Weiss (2007) provide models and evidence from Europe.”
Fear, Unemployment and Migration (2009, unknown): “The probability of a migrant returning to the state of origin within a year is about 13% and the probability of moving to another location is 15% (Devanzo, 1983; Dustmann, 2003).”
The emigration of immigrants, return vs onward migration: evidence from Sweden (2006, background): “…Borjas 1987, 1989; Borjas and Bratsberg 1996; Constant and Massey 2003; Constant and Zimmermann 2003; DaVanzo 1983; Devortex and Ituralde 2000; Dustmann 2000, 2003; Duleep 1994; Edin et al. 2000; Jasso and Rosenzweig 1982; Klinthäll 1998, 1999; Lindstrom and Massey 1994; Longva 2001; Pedersen…”
Self-selection and the performance of return migrants: the source country perspective (2005, unknown): “Dustmann (2003) studied the optimal length of stay abroad and return behaviour of temporary migrants in the framework of life-cycle analysis, while Dustmann and Kirchkamp (2002) looked at the activity choice of return migrants.”
Are Migrants More Skilled than Non-Migrants? Repeat, Return and Same-Employer Migrants (2004, unknown): “…undertaken migration as part of a lifecycle plan to raise earnings at home and consume at home, as postulated by Borjas and Bratsberg (1996) and Dustmann (2001,2003).5 4 Constant and Massey (2002, 2003) and Constant and Zimmermann (2003) find that employed foreigners in Germany are much less…”