Remittance Flows and the Environmental Degradation–Migration Nexus

Abstract

The net effect on the environment from migration into developed countries has received little attention in existing literature. Yet, this issue has important policy implications – e.g., nativists’ support of anti-immigration policy for achieving pollution reduction targets. This research uses panel data for 127 countries from years 1971–2012 to analyse how migration affects greenhouse gas (GHG) emissions through remittance flows. The findings suggest higher remittances lead to lower GHG emissions. Further, the estimated decrease in GHG emissions more than compensates for any potential increase in global GHG emissions from migration into developed countries. These results suggest that pollution alone does not justify policies restricting immigration.