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The Dynamics of Return Migration, Human Capital Accumulation, and Wage Assimilation
[journal article]
Abstract This article develops and estimates a dynamic model where individuals differ in ability and location preference to evaluate the mechanisms that affect the evolution of immigrants’ careers in conjunction with their re-migration plans. Our analysis highlights a novel form of selective return migration... view more
This article develops and estimates a dynamic model where individuals differ in ability and location preference to evaluate the mechanisms that affect the evolution of immigrants’ careers in conjunction with their re-migration plans. Our analysis highlights a novel form of selective return migration where those who plan to stay longer invest more into skill acquisition, with important implications for the assessment of immigrants’ career paths and the estimation of their earnings profiles. Our study also explains the willingness of immigrants to accept jobs at wages that seem unacceptable to natives. Finally, our model provides important insight for the design of migration policies, showing that policies that initially restrict residence or condition residence on achievement shape not only immigrants’ career profiles through their impact on human capital investment but also determine the selection of arrivals and leavers.... view less
Keywords
microcensus; migration; migration research; labor; job; labor market; career; human capital; immigration country; immigration policy; migration policy; Federal Republic of Germany
Classification
Migration, Sociology of Migration
Employment Research
Free Keywords
international migration; expectations; Mikrozensus 1976-2007
Document language
English
Publication Year
2022
Page/Pages
p. 2841-2871
Journal
The Review of Economic Studies, 89 (2022) 6
DOI
https://doi.org/10.1093/restud/rdac003
ISSN
1467-937X
Status
Published Version; peer reviewed