Emigration, unemployment and welfare – The role of non-traded sector

In this paper we examine the consequences of skilled versus unskilled labor migration on the welfare of remaining residents (RR) in an economy characterized by unemployment of unskilled labor. It is established that emigration of unskilled workers necessarily raises both the level of employment and...

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Veröffentlicht in:The North American journal of economics and finance 2013-01, Vol.24, p.298-305
Hauptverfasser: Marjit, Sugata, Kar, Saibal, Hazari, Bharat R.
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container_title The North American journal of economics and finance
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creator Marjit, Sugata
Kar, Saibal
Hazari, Bharat R.
description In this paper we examine the consequences of skilled versus unskilled labor migration on the welfare of remaining residents (RR) in an economy characterized by unemployment of unskilled labor. It is established that emigration of unskilled workers necessarily raises both the level of employment and the welfare of RR. However, this result need not hold when skilled workers emigrate freely. In obtaining these results we emphasize the critical significance of the non-traded sector in an economy.
doi_str_mv 10.1016/j.najef.2011.09.001
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1879-0860
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subjects Emigration
Employment
Labor economics
Non-traded goods
Remaining residents
Remittances
Skill
Studies
Unemployment
Welfare economics
title Emigration, unemployment and welfare – The role of non-traded sector
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