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Demand and Supply of Mexican Cross-Border Workers

Tito Alegría

Abstract


Transmigration is defined as daily cross border employment of people who reside on the Mexican side and work in a nearby place inside the United States. In this border ambience, transmigration is considered as the expression of a transborder labor market. In this research, we show that transmigration is not part of a single cross-border labor market, rather transmigrants participate in two labor markets, one on each side of the border. The general conclusion is that transmigration is fueled by the structural differences (expressed here by wages) between Mexico and the United States and that Mexican labor supply and the American demand have little explanatory power. On the supply side, lack of documents to work legally in the United States is not a restriction to transmigration. On the demand side, growth of the American's border local economy has little effect on the increase of transmigration.

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©2009
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Print ISSN: 0886-5655
Online ISSN: 2159-1229

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