International Migration and Welfare in the Presence of Non-Traded Goods: An Interconnected Markets Approach

Bharati Basu

doi:10.1080/10168739200080025

International Migration and Welfare in the Presence of Non-Traded Goods: An Interconnected Markets Approach

Bharati Basu

Economics

Research output: Contribution to journal › Article › peer-review

1 Scopus citations

Abstract

This paper shows that if the terms of trade are determined endogenously for an open economy with a non-traded good sector, emigration results in favorable changes in the terms of trade for the remaining residents of the country (non-migrants). These changes and the gift of non-removable capital resources to non-migrants may offset the welfare loss which results from the loss of trading opportunity the non-migrants had with the migrants before migration occurred. Thus, the non-migrants may gain in welfare as a result of migration.[F22].

Original language	English
Pages (from-to)	33-45
Number of pages	13
Journal	International Economic Journal
Volume	6
Issue number	4
DOIs	https://doi.org/10.1080/10168739200080025
State	Published - Dec 1 1992

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title = "International Migration and Welfare in the Presence of Non-Traded Goods: An Interconnected Markets Approach",

abstract = "This paper shows that if the terms of trade are determined endogenously for an open economy with a non-traded good sector, emigration results in favorable changes in the terms of trade for the remaining residents of the country (non-migrants). These changes and the gift of non-removable capital resources to non-migrants may offset the welfare loss which results from the loss of trading opportunity the non-migrants had with the migrants before migration occurred. Thus, the non-migrants may gain in welfare as a result of migration.[F22].",

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AB - This paper shows that if the terms of trade are determined endogenously for an open economy with a non-traded good sector, emigration results in favorable changes in the terms of trade for the remaining residents of the country (non-migrants). These changes and the gift of non-removable capital resources to non-migrants may offset the welfare loss which results from the loss of trading opportunity the non-migrants had with the migrants before migration occurred. Thus, the non-migrants may gain in welfare as a result of migration.[F22].

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International Migration and Welfare in the Presence of Non-Traded Goods: An Interconnected Markets Approach

Abstract

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