1990 Computer programming at a Stock and Bond Broker Company. Submitted to the Journal of Labor Economics. Institute for the Study of International Migration. 69th Annual Meeting of the Southern Economic Association, November, 1999. Southeast Theory and International Economics Conference, November, 1999.
Information is revealed over time only if they live and work there.
The worker decides to migrate because the wage plus the expected value of living in the host country are higher than those in the home country. After some time, information about the real value of living in the host country is revealed stochastically and some workers. The empirical implication of the model is that the hazard rate of return diminishes over time after some period. This implication is confirmed by data on return migrants to Western Mexico. The main idea is that people in the Village can punish those emigrants who do not remit and, if the emigrant faces a positive probability of return, then he will find it optimal to remit.