Tag Archives: Jagdish Bhagwati

Against economic determinism for migration trends

My co-blogger John Lee recently retweeted Hein de Haas’s tweet which began with “Migration… it’s the economy, stupid!” and linked to a blog post of the same name. The central claim of this blog post is that trends and variation in migration are better explained by changes in the economy than they are by changes in immigration policies and the extent of crackdown on illegal/undocumented immigration. Hein de Haas writes:

Politicians know all too well that migration serves vital economic interests, and cannot stop immigration even if they would want so, but do not dare to tell so to their voters. Their tough talk about reducing immigration is usually nothing more than a smokescreen to hide their inability and unwillingness to stop immigration.

Hein de Haas also links to an article by Jagdish Bhagwati that appeared in Foreign Affairs in 2003, titled Borders Beyond Control, which makes the same point.

Bhagwati writes:

Paradoxically, the ability to control migration has shrunk as the desire to do so has increased. The reality is that borders are beyond control and little can be done to really cut down on immigration. The societies of developed countries will simply not allow it. The less developed countries also seem overwhelmed by forces propelling emigration. Thus, there must be a seismic shift in the way migration is addressed: governments must reorient their policies from attempting to curtail migration to coping and working with it to seek benefits for all.

Bhagwati later writes:

All three problems raise issues that derive from the fact that the flows cannot be effectively constrained and must instead be creatively accommodated. In designing such accommodation, it must be kept in mind that the illegal entry of asylum seekers and economic migrants often cannot be entirely separated. Frustrated economic migrants are known to turn occasionally to asylum as a way of getting in. The effective tightening of one form of immigrant entry will put pressure on another.

This “economic determinism” — the idea that migration that happens for economic reasons is beyond the ability of governments to stem — runs rife through the writings of many people generally considered to be pro-immigration. For instance, the Immigration Policy Center blog recently had a piece titled New Research Casts Doubt Upon “Attrition Through Enforcement” stating:

These conclusions are bolstered by new research from the Tomás Rivera Policy Institute in Los Angeles and El Colegio de la Frontera Norte in Tijuana. This research indicates that, when it comes to Mexican migration patterns, “northbound flows are holding steady with signs of increasing unauthorized migration, while southbound flows are decreasing. The result is that the size of the Mexican-born population in the United States has fully recovered from losses experienced during the recession.” Moreover, “given the available indicators as of mid-2012, it appears that even a relatively small increase in the demand for Mexican labor in the U.S. economy would prompt a positive response in the migration flows despite intensified enforcement efforts by the federal government, several states, and some local governments.”

My quick reaction upon reading these: these statements, although correct in a very narrow sense, are wrong and misleading and play right into the hands of restrictionists.

Technical problem with the research: open borders and closed borders out of sample

The research seems to be correct in so far as it estimates the relative roles of variations in the economy and variations in immigration enforcement policy over the years in terms of determining migration trends. But the main reason this is so is that, despite some widely publicized moves on the pro-immigration and anti-immigration side, the immigration enforcement policies of the US, and of many other countries, has been remarkably consistent across the years. There has been too little variation in these policies to meaningfully say that drastically freer migration, or drastically less free migration, would not be more decisive in determining migration flows.

Claiming the inevitability of immigration plays into the hands of support for the status quo

Bryan Caplan says of democracy:

“In the naive public-interest view, democracy works because it does what voters want. In the view of most democracy skeptics, it fails because it does not do what voters want. In my view, democracy fails because it does what voters want.”

I’ll shamelessly borrow Caplan’s logical structure:

“Restrictionists claim that immigration restrictions (if well designed) can and do work, and that’s a good thing. Economic determinists claim that immigration restrictions cannot or do not work and are overruled by the economy, and we just have to live with it. Open borders advocates argue that immigration restrictions do work, and the very fact that they work exactly (or approximately) as advertised is the problem.”

For the open borders advocates, the problem with immigration restrictions is not that they don’t work. The problem is that they do! Open borders advocates should be calling out economic determinists for their flawed reading of history and heavy status quo bias, not siding with economic determinists just in order to contradict or one-up restrictionists! By siding with economic determinists, open borders advocates undersell the significance of immigration restrictions and their effectiveness in destroying wealth.

Even the weaker claim that borders are already at their most closed point is suspect

When I made a condensed version of this argument to John Lee, he pointed out a somewhat different interpretation of Bhagwati’s piece. In John’s reading, it may be the case that borders are already at the most closed level possible. Thus, government policies restricting immigration do affect the levels of immigration, but they cannot cut immigration down to zero, and current policies already achieve the maximum possible restrictiveness for the current political climate.

I am skeptical of this. Continue reading “Against economic determinism for migration trends” »