Replication data for: Distortions in the International Migrant Labor Market: Evidence from Filipino Migration and Wage Responses to Destination Country Economic Shocks

Principal Investigator(s): View help for Principal Investigator(s) David McKenzie; Caroline Theoharides; Dean Yang

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Project Citation:

McKenzie, David, Theoharides, Caroline, and Yang, Dean. Replication data for: Distortions in the International Migrant Labor Market: Evidence from Filipino Migration and Wage Responses to Destination Country Economic Shocks. Nashville, TN: American Economic Association [publisher], 2014. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113891V1

Project Description

Summary: We use an original panel dataset of migrant departures from the Philippines to identify the responsiveness of migrant numbers and wages to GDP shocks in destination countries. We find a large, significant response of migrant numbers to GDP shocks at destination, but no significant wage response. This is consistent with binding minimum wages for migrant labor. This result implies that labor market imperfections that make international migration attractive also make migrant flows more sensitive to global business cycles. Difference-in-differences analysis of a minimum wage change for maids confirms that minimum wages bind and demand is price sensitive without these distortions.

Scope of Project

JEL Classification:
      F22 International Migration
      J31 Wage Level and Structure; Wage Differentials
      J38 Wages, Compensation, and Labor Costs: Public Policy
      J61 Geographic Labor Mobility; Immigrant Workers
      O15 Economic Development: Human Resources; Human Development; Income Distribution; Migration

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Published Versions

V1 [2019-10-12]

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