Ian Goldin discusses the migration crisis

Exceptional people jacketWith the wave of migrants and refugees from the Middle East traveling to Europe, migration has once again become a politically and emotionally heated international debate. In this exclusive PUP interview, Ian Goldin, Oxford University Professor of Globalisation and Development, author of The Butterfly Defect, and co-author of Exceptional People, clarifies the facts and dismisses the myths about this societal movement that dates back hundreds of years.

Why did you write your book, Exceptional People?

IG: I believe that the debate about migration is dominated by emotional rather than fact-based responses. I wrote the book to assemble the available evidence and place current debates in both a historical and future looking context. In the USA, the immigration debate is as politically charged as it is in Europe and many other countries. But as the book shows, no country would be where it is today without the benefit of waves of previous immigrants.

Are there more migrants today than in the past?

IG: Migrants today account for about 3% of the world’s population, which is roughly the same proportion as it has been over the past hundred years. It is actually lower as a share of the US or European population than it was in the age of mass migration in the second half of the 19th century. Migrants are defined as people crossing international borders, so the fact that there are 100 more countries in the world today means than 100 years ago, means that people that used to move within a country, are now defined as migrants. This trend has accelerated with the break-up of the Soviet Union, and the rise of independence movements.

What do you think are the main myths about migrants?

IG: That they take locals jobs, that they reduce wages, that they increase unemployment, that they are a drain on government budgets and that they are more prone to commit crime. None of these fallacies are borne out by the evidence.

Surely new arrivals means less employment and lower wages for locals?

IG: Although this seems to be intuitively obvious, it is not borne out by numerous studies. The reason is that migrants tend to fill needs in the labour market which local people are not providing, allowing the economy to grow more rapidly, which in turn creates more jobs and provides more taxes and services and leads to higher incomes and wages. This is both true of unskilled workers, where migrants allow greater levels of participation of local workers. For example, female workforce participation increases as migrants undertake tasks such as childcare that may keep mothers at home. And migrants create cheaper goods and services, such as food, cleaning and hospital care, which allows locals to be better off and spend more on other services undertaken by locals, such as professional and entertainment services. Migrants are also a powerful source of dynamism and innovation in society as is evident from Silicon Valley and a quick scan of who the Nobel Prize and Academy Award winners are. This increases the growth rate and competitiveness of societies, which leads to higher levels of employment and wages. It also provides for more dynamic and diverse entertainment, food, fashion and other choices for citizens.

So are there no costs associated with migration?

IG: There are costs. Particular communities may at times feel understandably threatened by the inflow of individuals with different cultural, religious or other views. Groups of workers may also feel the competitive pressures of immigrants. The challenge for cities, states and countries is to manage these flows, to ensure that each wave of immigrants is integrated effectively into society. The benefits of migration are national and are felt strongest in the medium term, whereas the costs tend to be local and short-term. This is why communities may need help, for example in ensuring that migrants do not put undue pressure on housing or education or other local services. The answer is not to stop migration, but to manage it more effectively.

Are there good examples?

IG: The USA is the best example, as its history is one of immigration. As I show in Exceptional People, it is vital that the lessons from this and other successful experiences are learnt to ensure that migration continues to play its central role in meeting the challenges of the future.

What about refugees?

IG: Refugees are very different to other migrants as they are in severe danger of death or persecution if they remain in their home countries. There is an internationally agreed legal definition of what constitutes a refugee. The desperate situation of Syrians illustrates that despite the legal and ethical imperatives, refugees regularly are denied safe passage and asylum. In principle, refugees aim to return home when it is safe to do so, but they may be compelled to stay in their host countries for many years. I show in Exceptional People that the policies of the host country, including as to whether refugees are allowed to work, fundamentally shapes the extent to which they are able to integrate and contribute economically.

Ian Goldin is Oxford University Professor of Globalisation and Development. He has served as vice president of the World Bank and advisor to President Nelson Mandela, and chief executive of the Development Bank of Southern Africa. His many books include Globalization for Development and The Butterfly Defect.