Let Their Knowledge Flow: The Effect of Returning Refugees on Export Performance in the Former Yugoslavia

116 Pages Posted: 21 Feb 2019

See all articles by Dany Bahar

Dany Bahar

Brookings Institution; Harvard University - Center for International Development (CID)

Andreas Hauptmann

Government of the Federal Republic of Germany - Institute for Employment Research (IAB)

Cem Özgüzel

Paris School of Economics (PSE)

Hillel Rapoport

Paris School of Economics (PSE)

Date Written: 2018

Abstract

During the early 1990s Germany received over half a million Yugoslavian refugees fleeing war. By 2000, many of these refugees, who were under temporary protection, had been repatriated. We exploit this historical episode to provide causal evidence on the role that migrants play explaining export performance in global markets after returning to their home country. We find that the elasticity of exports to return migration is between 0.1 to 0.24 in industries where migrants were employed during their stay in Germany. In order to deal with endogeneity we use historic exogenous rules of allocation of asylum seekers across different German states to construct an instrumental variable for the treatment. The results are mostly driven by knowledge-intensive industries, and by workers in occupations intensive in analytical and managerial skills.

Keywords: migration, refugees, knowledge diffusion, management, exports, productivity

JEL Classification: F140, F220, F620, O330, D830

Suggested Citation

Bahar, Dany and Hauptmann, Andreas and Özgüzel, Cem and Rapoport, Hillel, Let Their Knowledge Flow: The Effect of Returning Refugees on Export Performance in the Former Yugoslavia (2018). CESifo Working Paper No. 7371. Available at SSRN: https://ssrn.com/abstract=3338700

Dany Bahar (Contact Author)

Brookings Institution ( email )

1775 Massachusetts Ave, NW
Washington, DC 20036
United States

Harvard University - Center for International Development (CID)

One Eliot Street Building
79 JFK Street
Cambridge, MA 02138
United States

Andreas Hauptmann

Government of the Federal Republic of Germany - Institute for Employment Research (IAB) ( email )

Regensburger Str. 104
Nuremberg, 90478
Germany

Cem Özgüzel

Paris School of Economics (PSE) ( email )

48 Boulevard Jourdan
Paris, 75014 75014
France

Hillel Rapoport

Paris School of Economics (PSE) ( email )

48 Boulevard Jourdan
Paris, 75014 75014
France

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
13
Abstract Views
212
PlumX Metrics