Description

This paper uses data from nationally-representative US and Mexico Population Censuses (1970-2000) to examine the impact of international migration (Mexico to US) on wages in Mexico. Using an instrumental variables approach, the author finds that emigration has a positive and significant effect on Mexican wages: a 10 percent decrease in the number of Mexican workers due to emigration in a skill group increases the average wage in that skill group in Mexico by 4 percent. However, the impact of emigration on Mexican wages varies dramatically across schooling groups, with the greatest increase in wages being for high wage earners (those with 12-15 years of schooling).

©2007 Elsevier.