EC1111 Lecture 3 Migration Issues . In the first two lectures we have analysed the advantages of free trade (Ricardo Model) . However, in the Ricardo Model of comparative advantage, factors can relocate across sectors but not across countries . In reality, factors of production can move across countries . Let us have a look at the movement of a particular factor: LABOUR · LABOUR MOVEMENT = MIGRATION Migration = anyone who comes to a country for a period of a year or more that is not for tourism reasons (includes international students) Flow variable = measured over an interval of time Stock variable = at a point in time Net Migration = Immigration (people coming in) minus Emigration (people leaving) Migration (thousands) 700 600 Immigration X x not yet ( estimates) time ONS 500 Highest recorded net migration 400 Emigration 300 X Net migration 200 100 0 Revised net migration 92 q3 q4 q1 92_q3 g4 q1 q2 q3 q4 q1 g2 q3 q4 q1 q2 q3 q4 q1 q2 q3 q4 q1 q2 q3 q4 q1 q2 q3 q4 q1 q2 q3 44 q1 2 q3 q4 q1 2014 2015 2016 2006 2007 2008 2009 2010 2011 Calendar year 2012 2013 YE = Year Ending q1 = YE March q2 = YE June q3 = YE Sep q4 = YE Dec UK workforce (June 2016) Non-UK born 5.4 million 17% we rely on Migrant labour K UK born 26.25 million B595
Percentage of those in employment who are migrants Chart provided by www.migrationobservatory.ox.ac.uk 18 16 Why was there a dip ? 14 12 10 Percentage 8 38 6 4- 2 0 06 1996 1997 1993 1994 199 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Year Foreign-born + Foreign-national #Recent REASONS FOR MIGRATING Possibly not registered or Other/no reason recorded 42.75% ? Formal study 24.1% ri- university private schools Accompany join family 12.17% Work-related 20.98% 01- SOURCE: National Statistics Migrant share % 32 29 27 27 22 22 22 22 21 Manufacture of Domestic food products personnel Manufacture of Accommodation Food and Scientific research Security & beverage service and development investigation activities activities Airtransport Services to Computer wearing apparel buildings and programming and landscape consultancy OCCUPATIONS OF IMMIGRANTS what do the recorded immigrants do? Professional/ managerial 32.25% Manual/ clerical 19.56% Children 8.07% Other adults 4.99% Students 27.32% Housewives 7.82% SOURCE: National Statistio
DESTINATIONS OF IMMIGRANTS WITHIN THE UK Number of persons having acquired the citizenship of an EU Member State, EU-28, 2009-2015 (thousands) 1.200 5 4 3 2 1 12 9 11 10 6 7 8 London slight dip 1,000 800 600 400 200 0 2009 2010 (*) 2011 (*) 2012 (*) Rising 2013 2014 EC1111 Lecture 3 - Migration NO one wants to live up north 1. NE England - 2.22% 2. NW England - 6.96% 3. Yorks/Humb - 5.95% 4. E Mids - 5.21% 5. W Mids - 7.08% 6. East - 7.22% 7. London - 39.39%