Monday, May 14, 2007
International Migration Due to Globalisation
Good or Bad? Allow or Restrict?
The photo above shows the increase in the remittances over the years. As we can see clearly from the graph, it shows that the money sent home by immigrant workers has exceeded foreign aid and equals all foreign investments. Thus, in my post this time round, I will touch on the topic that is one of the most visible aspects of globalisation - international migration.Increased migration is one of the most significant aspects of globalisation. There is a growing number of people moving within countries and across borders, in search for better lifestyles and employment opportunities. International migration can take place for economic and non-economic reasons. Ever since the end of World War II, most international migration has been motivated by economic reasons- by the prospect of earning higher wages and income abroad. The attitude of the countries of origins of migrants varies. Some see it as an issue of political and social control and seek to prevent, or at least severely restrict, any emigration. Others allow it, but have policies that, intentionally or otherwise, create disincentives for potential migrants. For example, they making it illegal for non-residents to own property, making it hard for migrants to return later. International migration has its advantages and disadvantages, and thus in this post, I shall discuss about the negative claims made about migration and debate it against my opinion to show that migration is afterall, a force for good.
Let us first look at one negative view of migration. Economic migrants leave their countries not because they cannot find jobs but mainly because they are seeking higher income. Thus, they are only widening the gaps in their home countries' labour markets, condemning them to further economic decline to the expense of under-developed countries. Thus, international labour migration further skews distribution of income in the world.
However, if we look in it at a different point of view, we realize that labour is a factor of production that is becoming more and more mobile in the age of globalization, especially with modern advances in transport facilities. It is only natural that labour is moving from areas where it cannot be used to the places where there is a big labour market. Furthermore, some analyses prove that although output in the country of emigration decreases, it increases in the host country in a larger-scale, thus counting for a net increase in the world output. Hence, I do not believe that immigration should not be blamed for further skewing the distribution of income around the world.
Let us look at another claim made about migration. Some say that often migrants move with their families, and thus there cannot be any income for a home country. Also, an unqualified illegal labour force lowers the real wages of local workers and makes the unemployment problem in thier host country worse. Thus some believe that they should instead attempt to improve the situation in poor countries rather than just allowing anyone with the drive to leave.
This viewpoint however, in my opinion, can be debated quite easily. In my opinion, the higher real wages that migrant workers earn abroad and transfer to their families at home can be compared to dividends from successful capital investments. Migrants' remittances to their families abroad and investments in their home country's economy are all gains for a migrant's native land. In some cases, private investments from emigrants is worth 50% of these countries' commodity export income. Thus I think that we should not make a sweeping generalisation and say that migration causes the home country to be at a further disadvantage.
Thirdly, let us now look at another negative point that has been made on international migration. Some say that the immigrants that come to the US and the west European countries are now mostly uneducated people who cannot contribute new technologies or special knowledge. However, in my opinion, international migration do bring new knowledge and technologies to some countries. For example the huge migration from Europe to America in the late 19th century did boost the growth rate in the US, and contributed to its economic take-off. This is not only evident in America - Australia and New Zealand also emerged out of immigration flow. The reverse is also true. Migrants also return back to their countries, bringing along new skills, knowledge and money - all that can invigorate the economy of their original country.
Thus, in conclusion, I would like restate my stand that I believe international migration is a force for good. It should be encouraged and countries should not restrict the flow of migrants. This is one form of globalisation today - and we should accept it with open arms.
(:
DONE BY: NUR ATIQAH ISMAIL
TA 2D'o6
Economic Expert
; i'm lovin' it
