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International Migration: A Cross-Country Analysis

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This section identifies and organizes recent empirical research that examines economic growth’s relationship with immigration, human capital, industry and development of technology. In theory, economic growth and development are different concepts. Growth and development often occur simultaneously, however, in the long run, growth and development may indicate different goals: growth emphasis efficiency at the moment, while development emphasizes sustainable and progressive change. Growth means more output (sometimes more input or higher efficiency), while development implies both increase in output and changes in the technical and institutional arrangements by which it is produced (Kindleberger 1958).
As Shaffer et al stated, although the two …show more content…

He found positive association between a country’s development level and both measures of migration – the remittances’ share of GDP and foreign-born population share. In his research, migration was assumed to be exogenous. Park and Hewings (2009) examined immigration’s impact on regional and national GDP using a simulation model. Their results showed that immigration’s negative effects on wage and capital/labor ratio and positive effects on national and regional GDP will diminish over time. This study shed light on the time frame of the examination of immigration’s economic impact and indicated that immigration’s negative and positive impacts may both be limited to a certain period of time and is closely related to the demographic structure of immigration. Peri (2013) pointed out that immigration’s effect on productivity has been overlooked in earlier analyses. Together with many other scholars, Peri conducted a series of studies examining the relationships between immigration and productivity in the United States. Peri suggested that immigration’s productivity effects mainly come from stimulation to investment and innovation, as well as from promoting specialization and increasing efficiency. In the medium to long run, this productivity increase drove wage growth. He also admitted the difficulty of identifying the productivity effect of immigration and that is probably the reason why it has largely been neglected. Peri (2012a) examined immigration’s impact on the TFP in the United States at the state level. Peri found that immigrants promote specialization and therefore increase total factor productivity. This impact, however, was offset by immigration’s negative impact on the skill-bias of production technologies, leading to a slightly negative effect on average workers’

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In the article The Fiscal and Economic Impact of Immigration on the United States from the Center for Immigration Studeis, Steven A. Camarota states, “George Borjas, the nation’s leading immigration economist estimates that the presence of immigrant workers (legal and illegal) in the labor market makes the U.S. economy (GDP) an estimated 11 percent larger ($1.6 trillion) each year” (Camarota 2). When compared to native individuals, immigrants produce patents double rate serving significant portion of the labor market. Similarly, the U.S is always in need of seasonal labor in agriculture and most of those folks who do the manual labor in picking, packing and harvesting fruits and vegetables. Tammy Gange

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This opinion has a number of errors to it. In this regard, it does not take into account the rise in labor demand that occurs due to the immigration (Borjas, 23). The demand for labor is acquired from another area, meaning that it is acquired from the demand for final result. The immigrants offer labor to a wide range of markets. On the other hand, though, the immigrants acquire labor income that is directed to the purchase of products and services produced in the local economy.

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Same with the previous research, this analysis finds no significant effect of immigration on net job growth for native-born workers. This suggests that the economy absorbs immigrants by expanding job opportunities rather than by displacing native-born workers in the United States. Moreover, the work force, like the economy, is not fixed and static. The U.S economy itself is dynamic, fluctuating, and creates hundreds of new jobs every

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