Understanding Migration with Macroeconomics

This edited collection includes (but is not limited to) contributions in the form of chapters from the participants of the Workshop on the Macroeconomics of Migration at the University of Sheffield in June 2018. Migration is one of the most debated i

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nderstanding Migration with Macroeconomics

Understanding Migration with Macroeconomics

Eugenia Vella • Jordi Caballé • Joan Llull Editors

Understanding Migration with Macroeconomics

Editors Eugenia Vella University of Sheffield, Sheffield, UK MOVE, Barcelona, Spain Joan Llull MOVE, Barcelona, Spain

Jordi Caballé Universitat Autònoma de Barcelona Barcelona, Spain Barcelona GSE, Barcelona, Spain

Universitat Autònoma de Barcelona Barcelona, Spain Barcelona GSE, Barcelona, Spain

ISBN 978-3-030-40980-7    ISBN 978-3-030-40981-4 (eBook) https://doi.org/10.1007/978-3-030-40981-4 © The Editor(s) (if applicable) and The Author(s), under exclusive licence to Springer Nature Switzerland AG 2020 This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, expressed or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. This Palgrave Macmillan imprint is published by the registered company Springer Nature Switzerland AG. The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland

Contents

1 Introduction  1 Eugenia Vella Part I Migration and the Macroeconomy: Empirical Evidence  25 2 The Impact of Immigration on Productivity 27 Joan Llull 3 Macroeconomic Consequences of International Migration for OECD Countries 59 Hippolyte d’Albis and Ekrame Boubtane 4 The Economics of Brain Waste 87 Emily R. Barker Part II Migration and the Macroeconomy: A Search and Matching Approach 115 5 Immigration and Job Creation117 Andri Chassamboulli v

vi Contents

6 Doing Business in the Shadows: Informal Firms, Irregular Immigrants and the Government161 Eleni Kyrkopoulou and Theodore Palivos 7 Productivity Shocks, VAT Hikes and Emigration187 Guilherme Bandeira, Jordi Caballé, and Eugenia Vella 8 Economic Migration with Matching Frictions and Business Cycle Amplification223 Matija Lozej Part III Interdisciplinary Insights 251 9 Insights into Migration with Macroeconomics: An Interdisci