This article focuses on an apparent conflict between the standard trade theory and available empirical evidence on factor flows. Theoretically, labor and capital flows must be substitutes. However, empirical papers find migration and FDI to be either substitutes or complements, depending upon...

This paper reviews a growing literature on migration and globalization, focusing on its relevance for developing and emerging economies. It documents the role of diaspora networks in enhancing cross-border flows of goods, capital, and knowledge, eventually contributing to efficient...

Many developing countries in need of foreign capital for development have implemented policies to attract foreign direct investment. At the same time, these countries attracted by the foreign currency earnings brought back by migrant workers in the form of remittances are promoting overseas...

This paper reviews a growing literature on migration and globalization, focusing on its relevance for developing and emerging economies. It documents the role of diaspora networks in enhancing cross-border flows of goods, capital, and knowledge, eventually contributing to efficient...

This review article surveys the recent economic literature on diaspora networks, globalization, and development. Diasporas are shown to contribute to the economic and cultural integration of source (i.e., developing) countries into the global economy. I first review the effect of diaspora...

Migration decisions affect those left-behind in ways that are partly taken into account by market forces (e.g., wage effects on labour markets) and for the most part these can be seen as pure externalities. Diasporas are an example of such an externality. This paper reviews the recent economic...

Increased labor migration from Mexico to the United States between 1980 and 2000 stemmed in large part from macroeconomic policy reforms, implemented at the domestic and international levels, that we now associate with economic "globalization." These reforms were ushered in by the era of "deep...

This paper examines the evolution and determinants of migrant self-selection during the age of mass migration (1885-1930). Using a novel district-level panel on Portugal, we construct a self-selection index based on literacy for both men and women migrants. We document that migrants were on...

We investigate the consequences of redistribution policy on migration and trade in a Standard two-good Heckscher-Ohlin framework. With free trade and factor price equalization, abolishing migration barriers is redundant. With the introduction of government activity, matters change drastically....

This paper highlights that the immigrants' effect on trade is not identical across all types of immigrants but it varies with the immigrants' occupation. Using a sample of 63 U.S. trading partners which are also big immigrant sending countries over the years 1991-2000, this paper finds that the...