Finally, financial fluctuations affect migration in the region but are not directly related to labor market dynamics. In macroeconomic terms, countries exhibit different levels of development, but their relative position varies over time in connection with inflationary processes and exchange rate policies. This relationship is one of expulsion and attraction. For example, it is well known that economic crises and currency devaluations have helped drive populations to other (developed) countries. These processes are central to understanding migration to Spain, for example. Less recognized in academic circles outside the region, however, is the movement in the other direction,in which exchange rate policies affect the economic benefits of migration. For example, changes in the probability of migrating from Paraguay to Argentina are related more to exchange rate.policy than to unemployment levels in Argentina (Parrado & Cerrutti 2003). In periods when the Argentine peso is overvalued, the probability of migrating to Argentina increases and the probability of returning to Paraguay decreases. This effect creates conditions in which immigrants can remain unemployed in the country of destination yet still obtain economic benefits, as any temporary job pays much more than it would in their country of origin. Another example is the strong attraction of Argentina’s exchange rate policy in the early 1990s. A similar dynamic has been observed in Ecuador. The dollarization of the local currency in 2001 damaged the economic position of the country in the short term, thereby encouraging emigration to the United States and Spain while also making Ecuador an attractive destination for Peruvians and Colombians,given that dollarized wages are much higher than wages in their countries of origin (Higgins de Ginatta 2007).