Selection, Selection, Selection: the Impact of Return Migration

Jackline Wahba

No 1504, RF Berlin - CReAM Discussion Paper Series from Rockwool Foundation Berlin (RF Berlin) - Centre for Research and Analysis of Migration (CReAM)

Abstract: The evidence on the impact of return migration on the sending country is rather sparse, though growing. The contribution of this paper is in addressing various selectivity problems whilst quantifying the impact of return migration on wages of returnees using non-experimental data. Using Egyptian household level survey data, I estimate the wages of return migrants controlling for several selectivity biases arising from emigration choice, return migration choice, labor force participation choice and occupational choice following return. The findings provide strong evidence that overseas temporary migration results in a wage premium upon return, even after controlling for the various potential selection biases. However the estimates underscore the significance of controlling for both emigration and return migration selections. Ignoring the double selectivity in migration would overestimate the impact of return migration on the wage premium of returnees, as migrants are positively selected relative to non-migrants, but returnees are negatively selected amongst migrants.

Keywords: International return migration; Wages; Developing countries (search for similar items in EconPapers)
JEL-codes: F22 J24 O15 O53 (search for similar items in EconPapers)
Date: 2015-01
New Economics Papers: this item is included in nep-ara, nep-lab and nep-mig
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (60)

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Journal Article: Selection, selection, selection: the impact of return migration (2015)
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Persistent link: https://EconPapers.repec.org/RePEc:crm:wpaper:1504

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