Arbeitspapier

When a random sample is not random: Bounds on the effect of migration on household members left behind

A key problem in the literature on the economics of migration is how emigration of an individual affects households left behind. Answers to this question must confront a problem I refer to as invisible sample selection: when entire households migrate, no information about them remains in their source country. Since estimation is typically based on source country data, invisible sample selection yields biased estimates if all-move households differ from households that send only a subset of their members abroad. I address this identification problem and derive nonparametric bounds within a principal stratification framework. Instrumental variables estimates are biased, even if all-move households do not differ in their potential outcomes. For this case, I derive a corrected instrumental variables estimator. I illustrate the approach using individual and household data from widely cited, recent studies. Potential bias from invisible sample selection can be large, but transparent assumptions regarding behaviors of household members and selectivity of migrants allow identification of informative bounds.

Language
Englisch

Bibliographic citation
Series: Kiel Working Paper ; No. 1975

Classification
Wirtschaft
Single Equation Models; Single Variables: Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions
International Migration
Geographic Labor Mobility; Immigrant Workers
Economic Development: Human Resources; Human Development; Income Distribution; Migration
Subject
sample selection
migration
selectivity
principal stratification

Event
Geistige Schöpfung
(who)
Steinmayr, Andreas
Event
Veröffentlichung
(who)
Kiel Institute for the World Economy (IfW)
(where)
Kiel
(when)
2014

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.

Object type

  • Arbeitspapier

Associated

  • Steinmayr, Andreas
  • Kiel Institute for the World Economy (IfW)

Time of origin

  • 2014

Other Objects (12)