How Immigration Affect Social and Economic Status of Sending and Receiving Countries - Research Proposal Example

Running head: Immigration How Immigration Affect Social And Economic Status Of Sending And Receiving Countries? Insert Insert Grade Insert Tutor’s Name 29 April 2012 Abstract The effects of globalization are broadly recognized in economic, social and political segments making immigration a significant dynamic in global affairs. Basically, immigration refers to the movement of people from their country of origin for various reasons mostly the search for employment. As a result, when discussing immigration and its effects, there are two crucial considerations namely; sending country and receiving country. These two signify the origin and destination of individual immigrants and factors in the two countries are imperative in underscoring the overall implications of the movement of people. Accordingly, the effects of immigration are demarcated to indicate those affecting the country of origin and those affecting the receiving country. In general, it is evident that immigration has dual effects in the sense that the movement of people from one country to the other affects the sending country on one hand and the host country on the other. Table of Contents Page Introduction………………………………………………………………………….……………3 Statement of the problem………………………………………………………………..………..4 Research questions………………………………………………………………………………..4 Methods of research………………………………………………………………………………5 Background information………………………………………………………………………….5 Literature review……………………………………………………………………...…………..7 Social and economic effects on sending countries……………………………….………………8 Social and economic effects on receiving countries………………………………….…………10 Findings and discussion………………………………………………………………………….13 Conclusion……………………………………………………………………………….………14 Works Cited………………………………………………………………………………...……16 Introduction Immigration is an imperative dynamic in the international economy (Hall 59). Research estimates indicate that more than 110 million people reside outside their countries of origin. This shows that the aspect of immigration plays a critical position in economic, communal and political lives of many people across the world. People travel away from their nations of birth due to a number of reasons though it is mostly perceived that a majority of immigrants move away from their homes in search for opportunities of employment. It is a clearly established that there are countless economic and social effects of immigrations. In a nutshell the most significant implications of immigrations may include; first and foremost, effects on the host nation’s employment market whereby immigration could cast severe implications on the host countries wages and employment opportunities. Subsequently, immigration could immensely influence the budgetary arrangement of the destination country because the services received by the immigrants including education and health may not strictly balance with the increased taxes from workers (Berg and Bodvarsson 27). Additionally, immigration could offer a credible solution to the problem of aging population in the country of destination. Lastly, immigration may significantly affect the economy of the sending country both positively and negatively though some negative effects could turn around as benefits to the country. For instance, brain drain is a harmful implication of immigration to the country of origin but could end up being a positive if the remaining workforce is well organized and trained. A positive implication of immigration to sending nations may be remittances from the immigrants, which have been identified as a major factor in the development of countries. Realistically, an incorporated globe that raises growth via innovation benefits all people. The balance of the implications of immigrations is probably going to be of immense influence on the policies of immigration of both origin and destination countries. Statement of the Problem The issue of immigration has been subjected to extensive research, though most research has merely focused on the life of immigrants in their countries of destination. As a result, more attention has been given to the nature of jobs held by immigrants and their welfare in the host nations. Little focus has been granted, if any, on the aspects the implications of immigration has on both nations of origin and the receiving countries. This has left a wide dearth of information regarding the several economic, social and economic effects of immigration on sending and receiving countries. Immigration is a common phenomenon in the world and it has numerous effects on the countries involved as well as on the world in general. It is extremely significant to explore an examination on the implications of immigration; such a research will illuminate the intricate outcomes of immigration both on host countries and countries of origin. Research Questions In analyzing how immigration affect social and economic status of sending and receiving countries, the study will take a broad perspective of the subject of immigration with special reference on its diverse implication to the countries involved. This will be important in underscoring the concept of immigration and its global economic significance. The study will also navigate into the nature of effects on the relevant countries as to whether they are negative or positive though some effects may border on both positions and will be dealt with separately. Equally important is the balance between the social, economic and political implications of immigration on the destination as well as the sending nations. In order to articulate the true purpose of this subject the research will seek to answer the following questions;’ 1. What are the collective and economic outcomes on sending countries? 2. What are the communal and economic implications on receiving countries? Methods of Research The paper will apply qualitative methods of research. Theme of immigration is a broad field with diverse perspectives. The study will use certain materials in the collection of information for the purposes of research. Therefore, the researcher will venture into the materials to conduct his own research with an investigative approach; at the heart of the methods will be an approach whereby the researcher will engage the interaction of two variables in his endeavour to conduct the study. Comprehensive data will be collected through open-ended questions that will grant direct citations. The data to be gathered will definitely be in the form of texts, interviews, reflective field notes, observations and group discussion. The researcher will more specifically employ these methods in collecting data; analysing documents and material, field notes, structured interview, participant observation, semi-structured interview an, non-participant observation and reflexive journals. Focus groups will offer great support to the researcher in terms of information gathering. In effect, the examination establishes a discussion with the members of a focus group selected by the researcher, the data collected will be useful for the study. Background Information Immigration has a lengthy history in the existence of mankind; the movement of people is perhaps the oldest human activity that characterizes the endeavour to search for better life beyond a person’s place of origin. Drinkwater et al (1-5) acknowledges that in the olden times immigration was mainly between short distances and people travelled away from their homes for purposes of trade, agriculture, farming, war and insecurity. During these times, immigration was associated with convenience whereby people could move for short distances and return back to their original homes. Though there were those communities that thrived on movement and never had a place to call home as they spend their lives migrating settling wherever they moved. However, as Lee et al (29) affirms that the establishment of national borders led to the institutionalization of migration that people had to obtain permission from government to move from one country to another. These developments enabled authorities to record and regulate the movement of people from one nation to another. Furthermore, it became possible to track the reasons behind the movement of people from their country to another country. According to Drinkwater et al (11-16) the earliest forms of migration were characterized by the movement of people from agricultural areas to the newly created urban centres; this was commonly referred to as rural-urban migration and represents the earliest from of migration after the development of the state. Among the reasons behind the movement of people to urban areas was the search for opportunity for employment, better living facilities, social reasons as well as proximity to administrative organs of the state. Early forms of migration involved movement of people within their realms of origin. Perhaps the biggest trans-national movement of people in history was the slavery and slave trade period in which numerous people particularly from the African continent moved or were forcibly moved to Europe and America to serve as slaves. However, several others have also travelled extensively across the world in search for opportunity for better living. It is obvious that the movement of people from one region to another for strategic reasons has numerous implications on both the region of origin as well as the destination region. This is because people are the most significant asset of any country in the world. In his book titled “Trade, and the Labor Market”, Abowd (70-73) agrees that immigration has evolved overtime to become a modern institution that plays a significant role in global economy. Furthermore, migration has become a great source of concern and apprehension in the social and political circles; all these indicate the importance of immigration both to the countries involved and to the global population in general. The implications of globalization go beyond the countries of origin to the destination country making it a global phenomenon. The sensitive nature of immigration along with its respective implications has led to the balanced consideration by administrations over how to formulate polices dealing with immigration. In essence, immigration can affect both countries positively or negatively because the practice has benefits and consequences in equal measures. As a practice, immigration is here to stay and the world will live with its effects forever owing to the fact that there are no signs of it going away. People will still travel out of their home countries for various reasons in the coming years. Literature Review According to Drinkwater et al, the implications of immigration can be described as negative and positive affecting both host and original countries in the same measure (6-10). More concentration has been given to the receiving region creating a question of whether the country of origin is also affected by the movement of people to other countries or not. In essence, the original nation is equally affected particularly because it loses its manpower to another country making it to have a dearth of supply of workforce. However, there are other factors that make the movement of people outside their respective countries beneficial to source countries. United States is one country that has been affected by the spate of immigration in the sense that the country’s labour force and sizable population is constituted by the immigrants. Therefore, the US is a perfect case study of the effect of immigration more particularly for the host country. As Hall (41-47) opines, there have been several contentions regarding the exact effect of immigration on the economy with some scholars arguing that immigration spurs economic activity in the host country improving its economic standing. Furthermore, some studies have opined that the entry of immigrants in a host country improves the labour equation. On the contrary, scholars have argued that the host country suffers from the prevalence of immigrants since they have to cater for the needs of the immigrants and that immigrants spoil the labour market lessening wages for natives. Similarly, countries of origin have been presented as the sufferers of immigration because of brain drain; such countries remain without sufficient manpower after immigration. However, as Abowd (35-50) states, brain drain benefits the country of origin because it serves as an opportunity to reorganize the remaining labour force making it competent. As to whether the sending country benefits from immigration or not has remained subject to discussion due to contentions that immigration robs the original country of its workforce and members of the society creating a vacuum that negatively affects the nation. What are the Social and Economic Effects on Sending Countries? Berg and Bodvarsson (23-27) assert that immigration has a significant economic and social impact on sending countries in the sense that immigration seriously transforms the financial, communal and political organization of the states. As a result, they opine that most countries have resorted to developing mechanisms that will regulate the number of people moving out of the country. Perhaps the best ways to mitigate the loss of manpower and population is to build infrastructure and industries that will create employment opportunities making it unnecessary for people to migrate. Similarly, the positive effects of the movement of population to other countries cannot be ignored because it has become an integral factor in the development of sending countries. Therefore, sending nations have had to encourage a sizable amount of the population to migrate to other countries so as to benefit from the migration of these people. In overall, the effects of immigration on source countries are both positive and negative; countries have to devise ways of benefiting from the positives and mitigating the harmful impact of immigration. Brain drain is the loss of skilled manpower through immigration that leaves the source country with insufficient expert personnel. Brain drain is a major effect of immigration that harms the workforce balance of the source country. Normally, the source country has to train other people to fill the gap of lost manpower. However, according to Abowd (55-61) brain drain can be a positive effect particularly if the source country takes the initiative to reorganize existing workforce through training. As a result, brain drain may be a chance to improve the existing workforce for the better. Remittances from the Diaspora have been identified as a positive impact of immigration to home countries which have immensely benefited from money sent home by immigrants. These remittances have become a central pillar in the development of countries exporting labour. Immigrants send large sums of money to their families back home and part of these funds end up in investment avenues that lead to development of their source countries. Furthermore, immigrants are among the owners of means production in the source countries thus providing employment to many. Immigration offers sending countries an opportunity to develop skills that are needed for national development. This is an indirect effect of immigration in which countries that send many of their skilled labour to other nations often have the opportunity to create a new skill base among the population that remains after brain drain. Just like brain drain, the movement of skills outside the nation provokes the training of more people so as to mitigate the loss of professional skills. Immigration is a wake up call to source countries that have not invested enough in their manpower. Through the loss of expertise, these countries embark on capacity building that develops its skill base to levels that are sustainable for economic development. With the absence of immigration, there is no substantial challenge to manpower and skill base of a country. In overall, skill development boosts countries’ chances of development that not only compensates for the skills lost through immigration but also sustains the capacity needs of a country in the pursuit for development. The social effects of immigration on the home country regard the separation of families whereby young men leave their homes in search for employment leaving the society with old people and women. This affects the social structure and influences cultural and economic activities. Sending countries suffer from the absence of vibrant members of the society who could have been necessary in the relevant social, cultural and economic roles. Old people are often a burden to society, which has to find alternative methods of caring for them. On the other hand, young women remain with their in-laws as their husbands are away searching for family income. What are the Social and Economic Effects on Receiving Countries? Receiving countries are the centre of activity and as Hall (65) further notes, host countries are mostly affected by the immigration because people move to countries for strategic reasons and spend most of their lives in those countries. As a result, most of the effects of immigration are felt by receiving countries that become the new homes of immigrants. Host nations sometimes have to make certain crucial adjustments to accommodate the increasing number of people who may have a straining impact on the available resources, opportunities and basic services offered. In essence, host countries also must address any misfortunes that arise from the entry of immigrants in its territory. In general, the effects of immigration on receiving nations can be described as positive as well as harmful because these countries benefit from the arrival of immigrants but a lot have to face the dilapidating effects of immigration. There are several arguments on whether immigrating is good for receiving regions or not and the majority of those views are founded on whether the benefits outnumber the negatives or vice versa. Fundamentally, it is not feasible to determine whether immigration is inherently good for receiving countries or not because the receiving country encounters both benefits and losses in having immigrants on its soil. Proponents of the benefits of immigration often contend the economic benefits associated with the employment and taxation of immigrant workers, which increase the revenue of the government. Similarly, they opine that the availability of immigrants in the country is of immense economic benefit to the nation in several ways. Therefore, immigration is perceived as a great source of economic power to receiving nations. On the contrary, opponents of the immigration argue that immigrants affect the employment levels of natives and lower their wages through the prevalence of low skilled labour. For instance, OECD (27) contends that immigrants dilute the employment market making it hard for low skilled natives to obtain jobs. He further states that immigrants often provide cheap labour resulting into low wages for native workers. In general opponents of immigrants have consistently asserted that immigrants distort the labour, wage and economic environment making it hard for natives to access the benefits that should primarily be reserved for them. Furthermore, they insist that immigrants exploit the host countries resources for their own benefits. Immigration provides cheap labour in receiving countries thus proving labour support for industrial development and overall economic activities. Therefore, when low skilled immigrants enter a host country they are usually willing to work with any wage rates making them a great source of opportunity for industries and other employers in the country. Universally, immigrants increase the pool of labour in the country making it possible for employers to have several people to employ in their respective companies. Opponents of immigration often associate immigration with the dilution of labour market as one of the negative impact of immigration in the sense that the prevalence of low skilled immigrants provide competition for jobs making natives to fail to access job opportunities. Therefore, the aspect of labour is both a negative and positive effect of immigration. Innovation and integration are viable benefits from immigration because the host country gains from the vast pool of manpower with diverse skills. This is a major factor in the economic development of host countries, which rely on the skill diversity of immigrants in fostering development. In fact, several professional and scholars among receiving countries are immigrants and they offer their professional services for the benefit of the host countries. Integration greatly improves the reputation of a country, which is perceived favourably in the globe as being friendly to strangers. Hence, immigration boosts efficacy through creativity and integration of diverse ethnic groups into the workforce and general society of the country. Immigration offers a solution to the problems of the aging population affecting receiving countries because the immigrant workers step in to occupy the vacuum of aging population. Therefore, immigrants offer a solution to labour problems affecting the countries in a significant way. Immigration affects the budgetary position of receiving countries because the services accessed by immigrants that include healthcare and education cannot balance with the increase in revenue brought about by augmented taxes. The host nation derives addition income from the taxation of immigrant workers. Similarly, the prevalence of immigrant labour in the host country aids overall development and growth providing the necessary skills required for economic expansion. Findings and Discussion Immigrations equally affect sending and receiving countries with the same intensity where home countries benefit and suffer from immigration as well as host countries. It is evident from this research that some countries are affected more than the other because the effects of immigration are spread equally throughout the nations involved. Sending countries have to contend with losing their population that travels to host countries for better opportunities at the same time benefit from the advantages that are linked to immigration. Brain drain affects sending countries which must look for alternative methods of compensating for the lost workforce. Similarly, sending countries receive a lot of funds in terms of remittances that are used in development. Host countries benefit from the diverse pool of workforce as a result of immigration, which avails an increased labour force. However, host countries must address several issues that come with immigration since the countries must care for the immigrant population. It is evident that immigration significantly affects host and home countries in a way that influences the global economy. As a result, immigration is very imperative dynamic in the social, economic and political arrangements of the host and sending countries on one hand and the globe at large. The movement of people from one country to the other is a significant parameter because people are the most crucial resource required for development and growth of economy. As stated by the results of the study, immigrants bring with them a lot of skills and opportunity to the host countries which can be used of development in many ways. Primarily, immigrants are workers who boost the constitution of a host countries’ labour force making innovation and creativity possible. Furthermore, they offer cheap labour that is important in industrial development. For home countries, remittances from the immigrants are a recognized source of development funds that drive local economies. Furthermore, the aspect of brain drain offers opportunities for home countries to invest in capacity development and skill creation, which is good for the long term aspirations of the country. As noted by Lee et al (17) the effects of immigration elucidates the broad relevance of the movement of people across the world particularly the role it plays in world affairs. As matter of fact the global affairs are inherently driven and affected by immigration in the sense that transfer of people is of immense purpose. Additionally, immigration reflects the reality in today’s world where people can move anywhere for work and residential purposes. In future immigration will be a common practice in which people will choose to reside and work wherever they choose. Such a situation will boost innovation, integration and exchange of expertise that is needed in today’s globalised economy. The prevalence of immigration corresponds with the demands of contemporary economy and serves the wider function of development and growth. Conclusion In summary, it is worth noting that, “Immigration is an imperative dynamic in the international economy.” As evidenced by the outcomes the transfer of people from one region to the other is of great relevance to the activities of global economy, social structure and political discourse. The absence of sufficient research on the effects of immigration to host and receiving countries has created a dearth of knowledge regarding the implications of immigration. However, this study has exposed the underlying dynamics that are embraced by countries that send people to other countries for labour and those that receive and host them. It clearly emanated from the research that host countries benefit from the wide skill base portrayed by the imported labour that work in local industries thus promoting development. Furthermore, immigrant workers improve the tax basket of the country along with guaranteeing innovation through the diversity of skills and expertise. Exporting countries on the other hand benefit from remittances that are used for development purposes. The global economy is governed by the transfer of labour between exporting and imputing countries. Works Cited Abowd, John. Immigration, Trade, and the Labour Market. Chicago: University of Chicago Press, 1991. Print Berg, Hendrik and Bodvarsson, Orn. The Economics of Immigration: Theory and Policy. London: Springer, 2009. Print Drinkwater et al. The Economic Impact of Migration; a Survey. Washington: Hamburg institute of international economics, 2003. Print Hall, Prescott. Immigration and Its Effects upon the United States. New York: BiblioBazaar, 2009. Print Lee et al. Local Fiscal Effects of Illegal Immigration: Report of a Workshop. Washington: National Academies, 1996. Print OECD. OECD Economic Surveys: Canada 2003, Volumes 2003-2014. New York: OECD, 2003. Print Read More