The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador
Can repatriation inflows impact firm behavior in origin countries? This paper examines this question in the context of repatriation inflows from the United States and Mexico to El Salvador. The paper combines a rich longitudinal data set covering a...
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World Bank, Washington, DC
2021
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| Online Access: | http://documents.worldbank.org/curated/en/488291611240337342/The-Unintended-Consequences-of-Deportations-Evidence-from-Firm-Behavior-in-El-Salvador http://hdl.handle.net/10986/35068 |
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okr-10986-350682022-09-20T00:11:17Z The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador Bandiera, Antonella Dinarte, Lelys Rozo, Sandra V. Schmidt-Padilla, Carlos Sviatschi, María Micaela Winkler, Hernan DEPORTATION FIRM BEHAVIOR INFORMALITY INFORMAL SECTOR LABOR MARKET LABOR COSTS LABOR SUPPLY MIGRATION Can repatriation inflows impact firm behavior in origin countries? This paper examines this question in the context of repatriation inflows from the United States and Mexico to El Salvador. The paper combines a rich longitudinal data set covering all formal firms in El Salvador with individual-level data on all registered repatriations from 2010 to 2017. The empirical strategy combines variation in the municipality of birth of individuals repatriated over 1995-2002—before a significant change in deportation policies—with annual variation in aggregate inflows of repatriations to El Salvador. The findings show that repatriations have large negative effects on the average wages of formal workers. This is mainly driven by formal firms in sectors that face more intense competition from the informal sector, which deportees are more likely to join. Repatriation inflows also reduce total employment among formal firms in those sectors. Given that most deportees spend less than a month abroad, these findings suggest that the experience of being detained and deported can have strong negative effects not only on the deportees, but also on their receiving communities. 2021-01-28T15:22:33Z 2021-01-28T15:22:33Z 2021-01 Working Paper http://documents.worldbank.org/curated/en/488291611240337342/The-Unintended-Consequences-of-Deportations-Evidence-from-Firm-Behavior-in-El-Salvador http://hdl.handle.net/10986/35068 English Policy Research Working Paper;No. 9521 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Latin America & Caribbean El Salvador |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
DEPORTATION FIRM BEHAVIOR INFORMALITY INFORMAL SECTOR LABOR MARKET LABOR COSTS LABOR SUPPLY MIGRATION |
| spellingShingle |
DEPORTATION FIRM BEHAVIOR INFORMALITY INFORMAL SECTOR LABOR MARKET LABOR COSTS LABOR SUPPLY MIGRATION Bandiera, Antonella Dinarte, Lelys Rozo, Sandra V. Schmidt-Padilla, Carlos Sviatschi, María Micaela Winkler, Hernan The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador |
| geographic_facet |
Latin America & Caribbean El Salvador |
| relation |
Policy Research Working Paper;No. 9521 |
| description |
Can repatriation inflows impact firm
behavior in origin countries? This paper examines this
question in the context of repatriation inflows from the
United States and Mexico to El Salvador. The paper combines
a rich longitudinal data set covering all formal firms in El
Salvador with individual-level data on all registered
repatriations from 2010 to 2017. The empirical strategy
combines variation in the municipality of birth of
individuals repatriated over 1995-2002—before a significant
change in deportation policies—with annual variation in
aggregate inflows of repatriations to El Salvador. The
findings show that repatriations have large negative effects
on the average wages of formal workers. This is mainly
driven by formal firms in sectors that face more intense
competition from the informal sector, which deportees are
more likely to join. Repatriation inflows also reduce total
employment among formal firms in those sectors. Given that
most deportees spend less than a month abroad, these
findings suggest that the experience of being detained and
deported can have strong negative effects not only on the
deportees, but also on their receiving communities. |
| format |
Working Paper |
| author |
Bandiera, Antonella Dinarte, Lelys Rozo, Sandra V. Schmidt-Padilla, Carlos Sviatschi, María Micaela Winkler, Hernan |
| author_facet |
Bandiera, Antonella Dinarte, Lelys Rozo, Sandra V. Schmidt-Padilla, Carlos Sviatschi, María Micaela Winkler, Hernan |
| author_sort |
Bandiera, Antonella |
| title |
The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador |
| title_short |
The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador |
| title_full |
The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador |
| title_fullStr |
The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador |
| title_full_unstemmed |
The Unintended Consequences of Deportations : Evidence from Firm Behavior in El Salvador |
| title_sort |
unintended consequences of deportations : evidence from firm behavior in el salvador |
| publisher |
World Bank, Washington, DC |
| publishDate |
2021 |
| url |
http://documents.worldbank.org/curated/en/488291611240337342/The-Unintended-Consequences-of-Deportations-Evidence-from-Firm-Behavior-in-El-Salvador http://hdl.handle.net/10986/35068 |
| _version_ |
1764482252165611520 |