To Go or not to Go: Migration Alleviates Climate Damages even for Those Who Stay Behind
Soheil Shayegh and
Greg P. Casey
No 266286, MITP: Mitigation, Innovation and Transformation Pathways from Fondazione Eni Enrico Mattei (FEEM)
We examine the effect of climate change on fertility rates and human capital accumulation in developing countries, focusing on the instrumental role of migration. In particular, we investigate how climate-induced migration in developing countries will affect those who do not migrate. Holding all else constant, climate shocks raise the return to acquiring skills, because skilled individuals compared to unskilled ones have greater opportunity to migrate after the shock. In response to this change in incentives, parents choose to invest more in education and have less children, a process known as the ‘quantity-quality’ trade-off. These effects partially offset the damages of climate change, even for those who do not migrate.
Keywords: Environmental; Economics; and; Policy (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-dev, nep-env and nep-mig
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Working Paper: To Go or not to Go: Migration Alleviates Climate Damages even for Those Who Stay Behind (2017)
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Persistent link: https://EconPapers.repec.org/RePEc:ags:feemmi:266286
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