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- Title
Reciprocity in migration policy and labor market integration: A lab experiment.
- Authors
Mitterbacher, Kerstin; Fleiß, Jürgen; Palan, Stefan
- Abstract
We experimentally study policy variations to examine economic migrants' willingness to relocate to, and take up work in, a destination country, and, in turn, destination country citizens' willingness to allow economic migrants to relocate to and pursue formal work in their country. We focus on economic migrants coming from less developed countries and citizens of more developed destination countries and find clear evidence for a reciprocal relationship between the individuals in these roles. The labor market participation of economic migrants co-moves with destination countries' openness to welcoming them. However, open migration policy without the threat of restrictions leads to lower migrant labor market participation than when the threat of restrictive policies looms. Yet, while the existence of such a threat encourages migrants to work, the actual implementation of restrictive policies reduces migrants' willingness to work. We conclude that thoughtful and balanced migration policies that consider the reciprocal relationship between migrants and citizens are crucial to support mutually beneficial co-existence in society. • We focus on citizens in a more developed country and migrant workers from a less developed country. • Migrants' relocation and labor market choices and citizens' policy choices are linked. • Despite relocating, migrants do not take up work under restrictive migration policies. • Citizens react by enacting restrictive migration policies. • This negative interaction pattern reduces labor market participation over time.
- Publication
Economic Analysis & Policy, 2024, Vol 81, p1
- ISSN
0313-5926
- Publication type
Article
- DOI
10.1016/j.eap.2023.11.008