On the Migration Decision of IT-Graduates: A Two-Level Nested Logit Model

Arbeitspapier

Discrete choice models are used to investigate the individual’s choice among a discrete number of alternatives. The characteristics of each alternative, by means of a multinomial and nested multinomial models have been taken into account. Specifically, this study analyses the impact of choice specific characteristics (attributes) in a model of choice between different country locations. Individual IT-Graduates are assumed to choose a single type of move, stayhome or go-abroad, while simultaneously choosing a country of their choice. We demonstrate that a nested logit model is appropriate on both theoretical and empirical grounds. The sample consists of 1,500 IT-Graduates from Pakistan. The results show a high migration propensity for foreign destinations. While comparing the direct elasticities (at branch level) of home with the foreign destination types we observe that the economic factors such as self-employment and higher career position show greater effects than the sociopolitical as well as institutional factors (social networks and residence permit). A location comparison between the destinations Germany and USA/Canada (of the cross elasticities) shows that the magnitude of the values of elasticities are found to be higher for North American countries than for Germany. This suggests that IT-Graduates evaluate the factors self- employment, higher career positions, social networks and residence permit more important and significantly higher for North American destinations than for Germany. In addition we find a strong evidence for a competition between countries for high potentials from Pakistan.

Object Details

• Alternative title: Migrationsentscheidung von IT-Hochschulabsolventen: Ein zweistufiges Nested-Logitmodell
• Language: Englisch

References and Relationships

• Bibliographic citation: Series: WZB Discussion Paper ; No. SP II 2003-22

Classification and Topics

• Classification: Wirtschaft ; Multiple or Simultaneous Equation Models: Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions ; International Migration ; Geographic Labor Mobility; Immigrant Workers
• Subject: international migration ; push- and pull factors ; nested model

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Mahmood, Talat ; Schömann, Klaus
• Event: Veröffentlichung
• (who): Wissenschaftszentrum Berlin für Sozialforschung (WZB)
• (where): Berlin
• (when): 2003

Further information

• Handle: http://hdl.handle.net/10419/51235
• Last update: 10.03.2025, 11:45 AM CET