Smuggling Humans : A Theory of Debt-Financed Migration

  title={Smuggling Humans : A Theory of Debt-Financed Migration},
  author={Guido Friebel and Sergei Guriev},
We introduce financial constraints in a theoretical analysis of illegal immigration. Intermediaries finance the migration costs of wealth-constrained migrants, who enter temporary servitude contracts to repay the debt. These debt/labor contracts are easier to enforce in the illegal than in the legal sector of the host country. Hence, when moving from the illegal to the legal sector becomes more costly—for instance, because of stricter deportation policies—fewer immigrants default on debt. This… CONTINUE READING
Highly Cited
This paper has 18 citations. REVIEW CITATIONS

From This Paper

Figures, tables, and topics from this paper.
14 Citations
35 References
Similar Papers


Publications referenced by this paper.
Showing 1-10 of 35 references

World Migration Report: Managing Migration, Challenges and Responses for People on the Move

  • IOM
  • International Organization for Migration, Geneva.
  • 2003
Highly Influential
6 Excerpts

Coming Out of the Shadows : Learning about Legal Status and Wages from the Legalized Population ”

  • Rey Koslowski
  • Journal of Labor Economics
  • 2002

Enter the Dragon: Inside Chinese Human Smuggling Organizations.

  • Chin, Ko-lin, Sheldon Zhang
  • 2002

Human Trafficking: The Need for Better Data.” International Organization for Migration 〈 Feature/ display.cfm?ID=66

  • Laczko, Frank
  • 2002

International Migration and the Integration of Labor Markets.

  • Chiswick, Barry, Timothy Hatton
  • IZA Discussion Paper No
  • 2002

“ Human Trafficking : The Need for Better Data

  • Philip Martin, Marc Miller
  • 2002

“ International Migration and the Integration of Labor Markets . ” IZA Discussion Paper No . 559 www . iza . org . CIA Factbook ( 2005 )

  • Deborah Cobb-Clark, Sherryl Kossoudji
  • 2002
1 Excerpt

A Theory of Immigration Amnesties.

  • Epstein, Gil, Avi Weiss
  • CEPR Discussion Paper No
  • 2001

Impact of Chinese Human Smuggling on the American Labor Market.

  • Kwong, Peter
  • In Global Human Smuggling,
  • 2001

Similar Papers

Loading similar papers…