The Elasticity of the Migrant Labor Supply: Evidence from Temporary Filipino Migrants

Simone Bertoli, Jesús Fernández-Huertas Moraga and Sekou Keita

No 10031, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: The effect of immigration on host and origin countries is mediated by the way migrants take their labor supply decisions. We propose a simple way of integrating the traditional random utility maximization model used to analyze location decisions with a classical labor demand function at destination. Our setup allows us to estimate a general upper bound on the elasticity of the migrant labor supply that we take to the data using the evolution of the numbers and wages of temporary overseas Filipino workers between 1992 and 2009 to different destinations. We find that the migrant labor supply elasticity can be very large. Temporary migrants are very reactive to economic conditions in their potential destinations.

Keywords: labor supply elasticity; temporary migration; international migration; multilateral resistance to migration (search for similar items in EconPapers)
JEL-codes: F22 J31 J38 J61 O15 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2016-07
New Economics Papers: this item is included in nep-ger, nep-int, nep-lab, nep-mig, nep-upt and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Forthcoming - published in: Journal of Development Studies, 2017, 53 (11), 1822-1834

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Related works:
Journal Article: The Elasticity of the Migrant Labour Supply: Evidence from Temporary Filipino Migrants (2017)
Working Paper: The Elasticity of the Migrant Labour Supply: Evidence from Temporary Filipino Migrants (2016)
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