Jonathan Corcoran and Alessandra Faggian
Angelina Zhi Rou Tang, Jonathan Corcoran and Francisco Rowe
The number of domestically educated overseas graduates remaining in Australia after graduation has risen significantly since 2007. There is growing evidence to suggest that overseas graduates have a high probability of being employed in lower-skilled jobs that do not match their educational qualifications. A lack of spatial flexibility in terms of geographic mobility underlies this outcome. Prior work has examined the role of long-distance commuting in reducing the chance of experiencing an education_–job mismatch, but there is limited empirical research on the way migration acts as a strategy to overcome this misalignment. Compared to long-distance commuting, migration enables a larger geographical scope of job search and thus is regarded as offering a greater potential in mitigating education–job mismatch. Drawing on annual data from the Australian Graduate Survey between 2008 and 2012, this chapter examines the role of internal migration in lowering the likelihood of overseas graduates experiencing an education–job mismatch. Results highlight that migration leads to a reduction of education–job mismatch among overseas graduates. Nonetheless, the extent of this impact is marginal, lowering the probability by only 2–3 per cent. This modest effect is attributed to the tendency of overseas graduates to echo the settlement patterns of long-standing migrants and relocate to metropolitan regions that typically have a higher incidence of education–job mismatch.
K. Bruce Newbold
Despite the broad interest in the migration of graduates, there is little comparative literature in the Canadian context. Based upon Statistics Canada’s National Graduates Survey, this chapter provides an exploratory analysis examining the migration behaviours of students following graduation from post-secondary institutions, while controlling for socio-demographic factors and various factors reflecting employment and education. Particular attention is paid to the type of post-graduate migration, distinguishing between repeat migrants (including return migrants) and first-time migrants who move post-graduation. In addition, the chapter examines differences in migration by type of degree, distinguishing post-secondary degree types including certificates and diplomas, which are typically granted by vocationally oriented colleges, and degrees such as bachelor’s, master’s or PhDs, which are typically granted by universities. Results are broadly consistent with the literature, with the level of human capital an important determinant of migration.
Simona Iammarino and Elisabetta Marinelli
This chapter analyses the micro-level determinants of the education–job (mis)matches of recent university graduates in Italy. As the Italian graduate population has experienced increasing internal migration, this paper focuses in particular on the role of inter-regional migration in driving education–job match. The methodology takes into account both the endogenous relationship between migration and employment, and the self-selection bias between employment and education–job (mis)match. Using a survey on Italian graduates’ entry into the labour market, it is found that whilst migration at the national level is confirmed to have a positive role in both finding a job and decreasing the probability of over-education, robust differences emerge when looking at the sub-national dimension. Indeed, the northern regions, by receiving inflows of southern graduates who manage to attain a good education–job match in the recipient labour markets, are apparently reaping part of the return to the investment in university education born in the south.
Viktor A. Venhorst
The chapter investigates job-switch strategies of graduates from Dutch HEIs residing in core and non-core areas: to what extent are residential and workplace mobility coupled with switches across industrial sectors? Registry data from Statistics Netherlands enables us to track graduation cohorts from seven years before to eighteen years after graduation. Overall, the likelihood of labour-market dynamics varies strongly with the life-phase in which we find graduates. The chapter finds that, like migration, job mobility is not a random event. It occurs, in some cases, repeatedly, to specific groups who appear to operate at the edges of the job-opportunity space. The chapter finds that sector and workplace mobility appear contemporarily positively inter-related, persistent, but also inter-temporally competing. Residential mobility appears somewhat disconnected from labour-market dynamics, although it appears that some wait for a match to come to fruition before changing residences. Mobility is higher across the board for graduates residing in non-core areas, with non-core singles found to be relatively mobile. The chapter demonstrates that it is not the presence of a partner as such that limits spatial mobility, but whether or not he or she is economically active. Controlling for this, and contrary to what is often reported in migration literature, the chapter finds that couples without children, living in non-core areas, are more likely to exhibit residential mobility than singles. They are also more likely to engage in sectoral and workplace mobility. Non-core couples with children are also found to be more likely to engage in residential mobility than singles.
Mika Haapanen and Hannu Karhunen
This chapter studies the link between working while studying and migration. Understanding this link is important because policy-makers are often calling for actions that would cut down the hours students spend on working to shorten the graduation time. The chapter’s analysis focuses on graduates from Finnish universities, polytechnics and vocational schools in 1991–2004. It uses rich register-based longitudinal microdata constructed by Statistics Finland, and find a negative relationship between working while studying and graduate migration. An increase in student employment can thus partly explain the decline in geographic mobility among Finnish graduates from higher education.
Cécile Détang-Dessendre and Virginie Piguet
As in all developed countries, educated French people are concentrated in dense local labour markets. The chapter analyses migration flows using the declarations in the census on previous residential location (five years before) of people aged over five in 2008. It focuses on two populations: 20–64-year-olds to analyse the core of the French active population and 20–29-years-olds to capture youth specificities, distinguishing people with high and low levels of education. The chapter estimates extended gravity models to explain the origin–destination flows of the active population between 288 local labour markets using a zero-inflated negative binomial (ZINB) model. They provide a picture of the main links between middle- and long-distance flows and local characteristics that play a role in the professional and residential dimensions of migration choices. Migration flows of young educated people are essentially linked with the characteristics of local labour markets, rather than climates and amenities. Amenity variables, in particular climate conditions, also affect migration flows, especially flows of older people. The characteristics of the destination area impact flows of educated people more than flows of less-educated people.
Raul Ramos and Vicente Royuela
This chapter studies the impact of the Great Recession on the migration of graduates in Spain, a country with traditionally low international mobility for graduates. However, the strong impact of the Great Recession has dramatically altered the mobility patterns of residents in Spain. The chapter’s empirical analysis first adopts a macro approach and takes advantage of the recent publication of IAB brain-drain data. It analyses aggregate trends of the stock of Spanish migrants in twenty OECD destination countries by gender, country of origin and educational level, for the period 1980–2010. Next, it uses individual data from different surveys addressed to Catalan graduates and recent PhD holders carried out by the Catalan University Quality Assurance Agency (AQU) in order to provide new evidence on the drivers and impacts of changing trends in their migration behaviour. The chapter’s analysis shows that international migration of university graduates has boomed in recent years. Such flows are responsive to differences in incomes with other countries. Graduates with a higher propensity to migrate are those with higher grades in their degree, previous mobility experiences and foreign-language knowledge.
This chapter analyses the wage gap created by migration for graduates in Mexico, specifically looking at migration episodes before and after graduating from college and their subsequent influence on wages. The dataset used for the analysis is the Mexican Family Life Survey (MXFLS), a survey that collects information on all the permanent migration episodes of individuals from the age of twelve. The chapter describes the migration path over time for graduates by estimating three sequential stages of such a path: (i) migration choices before attending college; (ii) the likelihood of graduating from college; and (iii) an earnings equation representing returns to human capital. Results suggest that migration in Mexico creates a wage gap through the type of location to which the individual moved before college but not through migration episodes after college. Results highlight that the rural-to-urban migration in the search of better living conditions is the key driver of graduate migration in Mexico, but not the urban-to-urban or the urban-to-rural migration found in developed countries where individuals look for a return to the human capital they accumulated in college. Findings also show that the higher the heterogeneity of the migration path, the higher the wage premium. From a policy perspective, this result suggests that the focus should be on providing not just one but multiple opportunities for permanent migration across heterogeneous locations, especially for potential college students living in small cities or villages.
Alessandra Faggian, Jonathan Corcoran and Rachel S. Franklin
This chapter is the first analysis of graduate mobility patterns in the United States with a focus on unveiling the role that inter-regional migration plays in shaping graduate salaries. By classifying graduates into five groups based on their sequential migration behaviour first from their pre-university state to college and then from college to their current job location, results reveal that most migratory individuals – that is, ‘repeat migrants’ – benefit from the highest wage premium both in terms of mean (16.3 per cent) and median salary (13.2 per cent). Results also point to other migration behaviours attracting wage premiums, although these vary according to the type of graduate. In particular, domestic graduates benefit more from return migration (an 11.3 per cent increase in mean salary) than repeat migration (10.1 per cent) possibly because of network and family effects in the state of domicile. Overall we find that migration behaviour does influence labour-market outcomes and salaries in particular. Geographical space – in this case represented by migration flows – matters, and should always be included in analyses. This study is a first step towards gaining a more comprehensive understanding of the role that migration plays in shaping the spatial distribution and dynamics of human capital across the United States. This is particularly important given that the United States is the world’s largest education market that continues to experience marked growth.