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Echoes of the crises in Spain and US in the Colombian labor market : a differences-in-differences approach

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Autores
De La Mata, María Dolores
Arango, Luis Eduardo
Obando Rozo, Nataly

Fecha
2014

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Universidad del Rosario

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Resumen
Abstract
This paper presents evidence of the effect of the recent phases of the business cycle in Spain and United States, proxied by their respective unemployment rates, on the labor market of Colombian cities with high migration tradition. These countries are the main destination for labor Colombian migrants. Using information from the household survey between 2006 and 2011 for urban areas in Colombia and a differences-in-differences approach we find that unemployment rates of those countries negatively affect the probability and the amount of remittances received by Colombian households living in areas with high and moderate migration tradition. At a second stage we provide evidence that unemployment rates of those countries positively affect the labor force participation decisions in Colombian regions with the highest migration tradition.
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Keywords
migration , remittances , labor participation , Spanish and United States unemployment rates
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