Emigrant Effects on Trade: Re-examining the Immigrant-trade Link from the Home Country Perspective

Abstract

A voluminous literature examines the immigrant-trade link. Available studies evaluate the link largely from the host country perspective and generally indicate that immigrants exert positive influences on trade between their host and home countries. Few studies, however, explore the effects of emigrants on trade. Using data representing the stocks of emigrants from 131 home countries that resided in 110 host countries during the year 2005, we examine the immigrant/emigrant-trade link from both the home country perspective and the host country perspective. Doing so, we provide the first comprehensive estimates of pro-trade emigrant effects for each home country in our study.