International Labor Mobility
An overview by Usama Junaid Khan
Labor Mobility or worker mobility (Migration) is the movement of people from one geographical location to another, involving permanent or temporary settlement.
The principles of international factor movements do not differ in their essential from those underlying international trade in goods. Both international borrowings and lending and international labor migration can be thought of as analogous in their causes and effects to the movement of goods. Although there is a fundamental economic similarity between trade and factor movements, however there are major differences in the political context.
A labor-abundant country may under some circumstances import capital intensive goods; under other circumstances it may acquire capital by borrowing abroad. A capital abundant country may import labor-intensive goods or being employing migrant workers. A country that is too small to support firms of efficient size may import goods where large firms have an advantage or allow those goods to be produced locally by subsidiaries of foreign firms. In each case the alternative strategies may be similar in their purely economic consequences but radically different in their political acceptability. International factor movement trends to raise even more political difficulties than international trade, Thus factor movements are subject to more restrictions than trade in goods. Until the 1980s several European countries, like France, maintained controls on capital movements even though they had virtually free trade in goods with their neighbors.
The classical economist believed that the factor of production is immobile internationally. This was their assumptions for the simplification of their international trade theories. While the modern economist like Heckscher-Oholin believed that the factor of production move internationally. However the fact remains that factors of production move less freely than the movement of goods and services internationally.
International labor migration is a key feature of our international economy. For example, many industries in the United States are heavily dependent on legal and illegal labor from Mexico and the Caribbean. Middle Eastern economic development has been fueled by laborers from South Asian countries, and several European countries have had formal guest-worker programs in place for years. The United Nations estimated that more than 175 million people, roughly 3 percent of the world’s population, live in a country other than where they were born.
Migration can be of two types
People migrate for many different reasons.
Moving to find work or follow a particular career path. When people are interested in a particular job and if it is available, in that case people are motivated to move to that area.
Individuals prefer to stay in peace. When there is constant fear of war people move to escape political harassment or war.
People also move due to social factors like the urge to have a better quality of life or to be closer to family or friends.
Environmental causes of migration include natural disasters such as flooding, earthquakes, famines, highly polluted area which adversely affects the health of the individuals.
Main Causes of Migration
Poor living conditions:
The high rate of population growth:
Violence and the abuse of power force people to flee:
Tourism, television and the Internet:
Better living standard:
Negative Effects of Migration:
1) Brain Drain:
Flight of human capital, more commonly referred to as brain drain. It is the large-scale emigration of a large group of individuals with technical skills or knowledge. The reasons usually include two aspects which respectively come from countries and individuals.
In terms of countries, the reasons may be social environment (in source countries: lack of opportunities, political instability, economic depression, health risks, etc.; in host countries: rich opportunities, political stability and freedom, developed economy, better living conditions, etc.).
In terms of individual reasons, there are family influences (overseas relatives), and personal preference: preference for exploring, ambition for an improved career, etc.
Brain drain is often associated with de-skilling of emigrants in their country of destination, while the country of emigration experiences the draining of skilled individuals.
2) Illegal immigrants:
It is a serious problem in many countries India, USA, and Canada. It may take place due to political, economic, social and religious factors. Changes in the ethnic composition of the population can have socio-political repercussions. It can create social tensions.
3)Problem of social integration:
Immigrants belong to different countries, religion, race, color, culture. Social assimilation with the people of host countries becomes difficult in the initial stages due to color, religion and cultural difference.
4) Fiscal imbalance:
When immigrants constitute in large numbers, the host country requires spending huge amount of capital to provide the required economic and social infrastructure.
People also Migrate in huge Numbers frim Pakistan to Different Countries of this World.The Basic need is to Produce Good Environment and stable Government position that may take people on their behalf and people may have a better life style and Health.
The writer is the student of institute of communication studies,P.U Lahore