Migration and Trade

By Peter H. Egger, M. V. Ehrlich, D. Nelson. Social Science Research Network, 2012

148 citations recorded by the source corpus.

Theoretical and empirical research in economics suggests that bilateral migration triggers bilateral trade through a number of channels. This paper assesses the functional form of the impact of migration on trade flows in a quasi-experimental setting. We provide evidence that the relationship is not log-linear. In particular, at small levels of migration (stocks) the elasticity of trade to migration is quite high, and it declines to zero at about 4,000 immigrants. If migration stocks exceed such a level, the evidence suggests that trade will not increase anymore. This suggests that cross-country network and other effects flowing from migration materialize at relatively low levels of migration, but there appears to be satiation as immigrant numbers increase by much.

Subfields: Economics and Econometrics, Sociology and Political Science

View Paper: https://www.semanticscholar.org/paper/39ce9eeaa43894905a9789c1af60b22b15d58f3d

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

1. Jacques Poot
2. Peter Nijkamp
3. Masood Gheasi
4. Murat Genç
5. W. Naudé
6. M. Siegel
7. T. Stanley
8. S. Gechert

In Sociology and Political Science

1. W. Naudé
2. Jacques Poot
3. Peter Nijkamp
4. M. Siegel
5. Katrin Marchand
6. Max Nathan
7. Fateh Habibi

Citations in the corpus

• Migration, entrepreneurship and development: critical questions (2017, background): “Others have argued that out-migration does not only lead to higher levels of trade (Egger et al. 2012; Fairlie and Lofstrom 2013; Rauch and Trindade 2002) and FDI (Kugler and Rapoport 2011) to developing countries but also contributes to development through “social remittances.”
• The Impact of Immigration on International Trade: A Meta-Analysis (2011, result): “We are aware of at least the following papers that became available after the completion of our data set: Parsons (2011), Bowen and Pédussel-Wu (2011), Egger et al. (2011) and Bratti et al. (2011).”