Migration and Economic Impacts: Pros & Cons

Abstract

Economic integration GLOBALLY  has proceeded rapidly over the last two decades. But the situation has been very different across this dimensions – immigration, trade, capital movements. The barriers to immigration have always remained higher^[i].  Part as a result, much less is known about the impacts of illegal or legal migration than the other dimensions, and specifically about the impact, both on receiving and sending countries, of lowering barriers to the movement of people, particularly those moving from very poor to rich countries.  The aim of this short discussion paper is to review the recent studies, and gaps in knowledge, concerning the economic impact of migration liberalisation, and to suggest some potential implications for policy and some solutions – decisions in the near future.

[i] Rodrik, Dani, (2002). Comments at the conference on “Immigration policy and the welfare state.” In: Boeri, T., Hanson, G.H., McCormick, B. (Eds.), Immigration Policy and the Welfare System. Oxford University Press; Hatton, Timothy J. (2006)."Should We have a WTO for International Migration?" Keynote presented at the 3rd IZA AM; Mayda, Anna Maria (2008). “Why Are People More Pro-trade Than Pro-migration?” Economics Letters, 101(3), 160–163