While it seems wholly natural that when people migrate to another country, when they do so for personal betterment, they are often branded using the derisory term “economic migrant”, as though such motives are somehow diminishing them or the thought processes they went through when making the move.
Yet, a recent report from MIT illustrates how crucial a trigger economic factors are in the decision of people to move. The report also highlights the considerable personal costs people bare when they move abroad.
“The core issue is economics, at the end of the day, and this is where policymakers need to be focusing their energy,” the authors say. “At the heart of what’s causing migration is that people don’t have enough money to provide for their basic needs.”
Making the move
The study focused on migration from Central America to the United States, and surveyed over 5,000 people from Honduras, Guatemala, and El Salvador. The study found a significant increase in the number of people considering migrating as a result of the harsh economic conditions caused by the Covid pandemic. Indeed, whereas just 8% said they were thinking of moving in 2019, this had leapt to 43% by 2021.
The authors highlight the role things like food insecurity is playing in this surge, with the UN’s World Food Program estimating that 6.4 million in each of the three countries were currently suffering from food insecurity, which is a rise of around 300% compared to 2019. In addition, participants cited challenges such as unemployment, poor wages, and low income levels as motivating factors in their desire to emigrate.
Despite this, however, just 3% of respondents said that they had made any concrete plans to move. One of the main reasons for this lack of concrete planning is the cost of moving itself, with the authors suggesting that it cost the 1.8 million Central Americans who have tried to move in the last five years around $10 billion, which equates to around 10% of the annual GDP of Honduras.
Various routes
Of those who had attempted migrate, around 57% had managed to do so successfully, with 33% returning home. Sadly, just over half of migrants had resorted to using an illegal smuggler to help them. This comes at considerable cost, with the average attempt costing $7,500, which compares to a cost of $4,500 for those using legal channels.
In addition to this, the report highlights how these migrants also provide a source of low-cost labor to the United States. Migrants make up around 75% of crop labor in the country, for instance.
While it’s often argued that such movement harms the source country, the authors highlight how this isn’t always the case, not least due to the remittances, which can make up a significant source of income in countries like the three studied for the paper.
“We must create incentives and opportunities for diasporas to invest in the development of local communities and become agents of change,” the authors say.
Paths forward
With so many people considering moving, the report also provides a number of policy suggestions for both local and national governments. For instance, they argue that the aid programs the US currently sends to Central America should be more tailored to local conditions. These programs could also be linked to better social programs.
“Targeted investment would do a lot more than just providing aid to the country,” the authors say.
The authors also believe that legal pathways could be simplified so that regional flows of labor could better meet demand. This should include increasing the access people have to temporary employment visas.
