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Emigration and Wages in Source Countries: Evidence from Mexico

Author/Editor: Mishra, Prachi
Authorized for Distribution: March 1, 2006
Electronic Access: Free Full Text (PDF file size is 630KB)
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Disclaimer: This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate.

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.
 
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Series: Working Paper No. 06/86
Subject(s): Immigration | Labor mobility | Labor supply | Mexico | Wages
Author's keyword(s): Emigration; wages; wage inequality; Mexico
 
English  
    Published:   March 1, 2006        
    ISBN/ISSN:   0 / 1934-7073   Format:   Paper
    Stock No:   WPIEA2006086   Pages:   35
    Price:   US$15.00 (Academic Rate: US$15.00 )
       
     
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