How many immigrants with less than university education, for a given immigration quota, maximise economic output? The answer is simple—zero—in the canonical model of the labour market, where the marginal product of a university-educated immigrant is always higher. We build an alternative model, following Jones (2005), in which national production occurs through a set of Leontief production functions that shift over time with technological change.
The demand for skills exceeds supply, both within the Pacific Islands and the high-income countries of the Pacific Rim. Enhancing skilled migration therefore has the potential to generate large economic gains. The Global Skill Partnership is a migration model that can support such mutually beneficial mobility by moving training into the country of origin. In this paper, we outline its regional application to the Pacific.
This report, a joint production between the World Bank and the Center for Global Development (CGD), outlines how the Global Skill Partnership model could be used to meet needs on both sides. It explores the growing youth unemployment rate in Nigeria, the increasing emigration pressure, and the structures that have been set up to manage this movement. It also explores the large skill shortages persistent within Europe, its migration management relationship with Africa, and the potential positive impacts of opening new legal migration pathways. It creates a framework with which to explore potential sectors and partner countries for the implementation of the Global Skill Partnership model, providing practical steps that governments can follow.
The youth population within Nigeria is rapidly increasing, but despite their high levels of education and skills, many are struggling to find meaningful work opportunities at home. At the same time, Europe’s working-age population is declining, resulting in employers in these countries facing large and persistent skill shortages within a range of mid-skill professions. This brief focuses on the first part of this equation, the why: understanding the opportunity that lies before us to better link the labor markets of Nigeria and Europe and the innovation that could do just that.
A Global Skill Partnership in Information, Communications, and Technology (ICT) between Nigeria and Europe
This case study is one of three in a recent report by CGD and the World Bank, outlining how CGD’s Global Skill Partnership model could be applied to boost the number of skilled professionals in Nigeria and Europe. This piece focuses on the ICT sector. It explores the existing digital and migration ecosystems in Nigeria and four European countries—Germany, the United Kingdom, Belgium, and Lithuania—providing practical recommendations for how a targeted skilled migration pathway could be used to boost economic growth in both markets.
This case study is one of three in a recent report by CGD and the World Bank, outlining how CGD’s Global Skill Partnership model could be applied to boost the number of skilled professionals in Nigeria and Europe. This piece focuses on the construction sector. It explores how the model could be used to increase the construction skills of potential migrants within Nigeria, with some moving to Germany to take advantage of recent legislative shifts there to foster more vocationally trained migration.
This case study is one of three in a recent report by CGD and the World Bank, outlining how CGD’s Global Skill Partnership model could be applied to boost the number of skilled professionals in Nigeria and Europe. This piece focuses on the health care sector. It explores how the model could be used to foster ethical and sustainable health worker migration between Nigeria and the United Kingdom, improving training and health management infrastructure while increasing the stock of health workers in both countries.
Ethical Recruitment of Health Workers: Using Bilateral Cooperation to Fulfill the World Health Organization’s Global Code of Practice
In this policy paper, we outline how the WHO defined a “critical shortage” of health workers, both for the original Code and for its newly published Health Workforce Support and Safeguards List. The paper then goes onto explore how countries of migrant destination and origin can (and should) design ethical and sustainable health worker migration partnerships that fulfil the requirements of the Code.
Countries restrict the overall extent of international travel and migration to balance the expected costs and benefits of mobility. Given the ever-present threat of new, future pandemics, how should permanent restrictions on mobility respond?
Promote mutually beneficial Northern Triangle migration through two phases of action.
In the short term, improve access to H-2 visa programs under current law by connecting US employers to employees in the region. To do so:
How does immigration affect incomes in the countries migrants go to, and how do rising incomes shape emigration from the countries they leave? The answers depend on whether people who migrate have higher or lower productivity than people who do not migrate.
Many governments seek to reduce emigration from low-income countries by encouraging economic development there. A large literature, however, observes that average emigration rates are higher in countries with sustained increases in GDP per capita than in either chronically poor countries or established rich countries.
The arrival of a new leadership team in Brussels provides an opportunity for Europe to reinvigorate its role as a global development power and to build a true partnership with its continental neighbour, Africa. These tasks have never been more urgent. Read here for recommendations on migration.
Maximizing the Shared Benefits of Legal Migration Pathways: Lessons from Germany’s Skills Partnerships
Germany is one country piloting and implementing projects that can help alleviate such demographic pressures and maximize the potential mutual benefits of legal labor migration.
Measuring the Spatial Misallocation of Labor: The Returns to India-Gulf Guest Work in a Natural Experiment - Working Paper 501
‘Guest workers’ earn higher wages overseas on temporary low-skill employment visas. This wage gap can be used to measure gaps in the productivity of workers due to where they are, not who they are. This paper estimates the effects of guest work on Indian applicants to a construction job in the United Arab Emirates, where an economic crisis allocated guest work opportunities as-good-as-randomly among several thousand families. Guest work raised the return to poor families' labor by a factor of four, with little evidence of systematic fraud.
A Tool to Implement the Global Compact for Migration: Ten Key Steps for Building Global Skill Partnerships
The world needs better ways to manage international migration for this century. Those better ways finally have a roadmap: the Global Compact for Migration. And one promising tool is Global Skill Partnerships.
Many of the world’s 25 million refugees spend years struggling to provide for themselves or contribute fully to their host economies because they are legally barred from working or owning businesses. Granting refugees formal labor market access unlocks a range of benefits—for refugees, hosts, and global businesses.
Refugees can be immense economic contributors to the host communities where they settle, but to maximize their contributions, refugees need formal labor market access.