Welcome Home in a Crisis: Effects of Return Migration on the Non-Migrants’ Wages and Employment

Ricardo Hausmann and Ljubica Nedelkoska
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Ljubica Nedelkoska: Harvard University

Working Paper Series from Harvard University, John F. Kennedy School of Government

Abstract: Albanian migrants in Greece were particularly affected by the Greek crisis, which spurred a wave of return migration that increased Albania's labor force by 5% between 2011 and 2014 alone. We study how this return migration affected the employment chances and earnings of Albanians who never migrated. We find positive effects on the wages of low-skilled non-migrants and overall positive effects on employment. The gains partially offset the sharp drop in remittances in the observed period. The employment gains are concentrated in the agricultural sector, where most return migrants engage in self-employment and entrepreneurship. Businesses run by return migrants seem to pull Albanians from non-participation, self employment and subsistence agriculture into commercial agriculture.

JEL-codes: J21 J23 J24 J31 J61 (search for similar items in EconPapers)
Date: 2017-01
New Economics Papers: this item is included in nep-ent, nep-ltv, nep-mig and nep-ure
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:ecl:harjfk:rwp17-015

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