Migration, the Quality of the Labour Force and Economic Inequality

29 Pages Posted: 30 Jun 2009

See all articles by Martin Kahanec

Martin Kahanec

IZA Institute of Labor Economics; Central European University; Central European Labour Studies Institute

Klaus F. Zimmermann

Global Labor Organization (GLO); UNU-MERIT; Maastricht University, Department of Economics; Free University Berlin; University of Bonn; Centre for Economic Policy Research (CEPR); Journal of Population Economics

Multiple version iconThere are 3 versions of this paper

Date Written: April 2008

Abstract

Mobility of workers involves flows of labour, human capital and other production factors and thus contributes to a more efficient allocation of resources. Besides these effects on allocative efficiency, migrant flows affect relative wages and also change the international and national distribution of skills and thereby equality in the receiving society. This paper suggests that skilled immigration promotes economic equality in advanced economies under standard conditions. The context is theoretically explained in a core model and empirically documented using unique data from the WIID database and OECD.

Keywords: Inequality, income distribution, human capital, skill allocation, migration, ethnicity, minority, Gini-coefficient

JEL Classification: D33, E25, F22, J15, J61, O15

Suggested Citation

Kahanec, Martin and Zimmermann, Klaus F., Migration, the Quality of the Labour Force and Economic Inequality (April 2008). DIW Berlin Discussion Paper No. 781. Available at SSRN: https://ssrn.com/abstract=1424847 or http://dx.doi.org/10.2139/ssrn.1424847

Martin Kahanec (Contact Author)

IZA Institute of Labor Economics ( email )

P.O. Box 7240
Bonn, D-53072
Germany

Central European University ( email )

Nador utca 9
Budapest, H-1051
Hungary

Central European Labour Studies Institute ( email )

Zvolenská 29
Bratislava, 82109
Slovakia

HOME PAGE: http://www.celsi.sk

Klaus F. Zimmermann

Global Labor Organization (GLO) ( email )

Bonn
Germany

HOME PAGE: http://https://glabor.org/

UNU-MERIT ( email )

Keizer Karelplein 19
Maastricht, 6211TC
Netherlands

Maastricht University, Department of Economics ( email )

P.O. Box 616
Maastricht, 6200MD
Netherlands

University of Bonn

Postfach 2220
Bonn, D-53012
Germany

Centre for Economic Policy Research (CEPR)

London
United Kingdom

Journal of Population Economics

Tiergartenstr. 17
D-69121 Heidelberg
Germany

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
30
Abstract Views
821
PlumX Metrics