Emigration and Wages in Source Countries: Evidence From Mexico
March 1, 2006
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Summary
This paper empirically examines the effect on wages in Mexico of Mexican emigration to the United States, using data from the Mexican and United States censuses from 1970-2000. The main result in the paper is that emigration has a strong and positive effect on Mexican wages. There is also evidence for increasing wage inequality in Mexico due to emigration. Simple welfare calculations based on a labor demand-supply framework suggest that the aggregate welfare loss to Mexico due to emigration is small. However, there is a significant distributional impact between labor and other factors.
Subject: Economic theory, Education, Labor, Labor force, Migration, Population and demographics, Supply shocks, Wages
Keywords: emigrant supply shock, Emigration, emigration loss, Global, impact of emigration, Labor force, Mexico, Migration, schooling group, Supply shocks, wage impact, wage inequality, wage regression, wages, work experience, WP
Pages:
35
Volume:
2006
DOI:
Issue:
086
Series:
Working Paper No. 2006/086
Stock No:
WPIEA2006086
ISBN:
9781451863468
ISSN:
1018-5941
