Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC Economies
This paper investigates the effects of taxation on migration. It develops a stylized, two-country model to examine the impact of taxes on labor mobility. The theoretical predictions that taxes affect migration decisions and that educated workers are more responsive to taxation are supported by some...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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World Scientific Publishing
2011-06-01
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| Series: | Asian Development Review |
| Online Access: | https://www.worldscientific.com/doi/10.1142/S0116110511000029 |
| _version_ | 1797793709581926400 |
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| author | Edda Claus Iris Claus |
| author_facet | Edda Claus Iris Claus |
| author_sort | Edda Claus |
| collection | DOAJ |
| description | This paper investigates the effects of taxation on migration. It develops a stylized, two-country model to examine the impact of taxes on labor mobility. The theoretical predictions that taxes affect migration decisions and that educated workers are more responsive to taxation are supported by some empirical evidence for the economies of the Association of Southeast Asian Nations and the Asia-Pacific Economic Cooperation. The empirical application also shows that average tax rates have a larger impact on migration choices than marginal rates. Average tax rates are most important for migrants with secondary education, while marginal rates have a greater influence on the decisions of migrants with tertiary education compared to secondary-educated migrants. The finding that taxation affects migration decisions, in particular of educated migrants, has important policy implications. |
| first_indexed | 2024-03-13T02:51:13Z |
| format | Article |
| id | doaj.art-2306e6f78aa9422b879a9c19293c38c1 |
| institution | Directory Open Access Journal |
| issn | 0116-1105 1996-7241 |
| language | English |
| last_indexed | 2024-03-13T02:51:13Z |
| publishDate | 2011-06-01 |
| publisher | World Scientific Publishing |
| record_format | Article |
| series | Asian Development Review |
| spelling | doaj.art-2306e6f78aa9422b879a9c19293c38c12023-06-28T10:21:19ZengWorld Scientific PublishingAsian Development Review0116-11051996-72412011-06-012801225010.1142/S0116110511000029Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC EconomiesEdda ClausIris ClausThis paper investigates the effects of taxation on migration. It develops a stylized, two-country model to examine the impact of taxes on labor mobility. The theoretical predictions that taxes affect migration decisions and that educated workers are more responsive to taxation are supported by some empirical evidence for the economies of the Association of Southeast Asian Nations and the Asia-Pacific Economic Cooperation. The empirical application also shows that average tax rates have a larger impact on migration choices than marginal rates. Average tax rates are most important for migrants with secondary education, while marginal rates have a greater influence on the decisions of migrants with tertiary education compared to secondary-educated migrants. The finding that taxation affects migration decisions, in particular of educated migrants, has important policy implications.https://www.worldscientific.com/doi/10.1142/S0116110511000029 |
| spellingShingle | Edda Claus Iris Claus Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC Economies Asian Development Review |
| title | Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC Economies |
| title_full | Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC Economies |
| title_fullStr | Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC Economies |
| title_full_unstemmed | Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC Economies |
| title_short | Effects of Taxation on Migration: Some Evidence for the ASEAN and APEC Economies |
| title_sort | effects of taxation on migration some evidence for the asean and apec economies |
| url | https://www.worldscientific.com/doi/10.1142/S0116110511000029 |
| work_keys_str_mv | AT eddaclaus effectsoftaxationonmigrationsomeevidencefortheaseanandapececonomies AT irisclaus effectsoftaxationonmigrationsomeevidencefortheaseanandapececonomies |