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Migration and human capital in Brazil during the 1990s

Author: Dorte Verner; Norbert M Fiess; World Bank.
Publisher: Washington, D.C. : World Bank, [2003]
Series: Policy research working papers (Online), 3093.
Edition/Format:   eBook : EnglishView all editions and formats
Summary:
Nearly 40 percent of all Brazilians have migrated at one point and time, and in-migrants represent substantial portions of regional populations. Migration in Brazil has historically been a mechanism for adjustment to disequilibria. Poorer regions and those with fewer economic opportunities have traditionally sent migrants to more prosperous regions. As such, the southeast region, where economic conditions are most  Read more...
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Details

Material Type: Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Dorte Verner; Norbert M Fiess; World Bank.
OCLC Number: 52559413
Notes: Title from title screen as viewed on July 3, 2003.
"July 2, 2003."
Description: 1 online resource.
Details: Mode of access: World Wide Web.
Series Title: Policy research working papers (Online), 3093.
Responsibility: Dorte Verner and Norbert M. Fiess.

Abstract:

Nearly 40 percent of all Brazilians have migrated at one point and time, and in-migrants represent substantial portions of regional populations. Migration in Brazil has historically been a mechanism for adjustment to disequilibria. Poorer regions and those with fewer economic opportunities have traditionally sent migrants to more prosperous regions. As such, the southeast region, where economic conditions are most favorable, has historically received migrants from the northeast region. Migration should have benefited both regions. The southeast benefits by importing skilled and unskilled labor that makes local capital more productive. The northeast can benefit from upward pressures on wages and through remittances that migrant households return to their region of origin. The northeast of Brazil is a net sender of migrants to the southeast. In recent years a large number of people moved from the southeast to the northeast. Compared with northeast to southeast (NE-SE) migrants, southeast to northeast (SE-NE) migrants are less homogeneous regarding age, wage, and income. SE-NE migrants are on average poorer and less educated than the southeast average, while NE-SE migrants are financially better off and higher educated than the northeast average. Fiess and Verner find that the predicted returns to migration are increasing with education for SE-NE migrants and decreasing for NE-SE migrants. They further observe that the returns to migration have been decreasing for NE-SE migrants and increasing for SE-NE migrants between 1995 and 1999. This finding helps explain migration dynamics in Brazil. While the predicted positive returns to migration for NE-SE migrants indicate that NE-SE migration follows in general the human capital approach to migration, the estimated lower returns to migration for SE-NE may indicate that nonmonetary factors also play a role in SE-NE migration. This paper--a product of the Office of the Chief Economist and the Economic Policy Sector Unit, Latin America and the Caribbean Region--is part of a larger effort in the region to understand migration patterns in Brazil.

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