The Economic Impact of Immigration on the Labor Market of Host Countries - Meta-Analytic Evidence

Tinbergen Institute Discussion Paper No. 11-103/3

19 Pages Posted: 29 Jul 2011

See all articles by Simonetta Longhi

Simonetta Longhi

University of Essex - Institute for Social and Economic Research (ISER); Institute for the Study of Labor (IZA); Tinbergen Institute

Peter Nijkamp

VU University of Amsterdam - Department of Spatial Economics; Tinbergen Institute

Jacques Poot

Vrije Universiteit Amsterdam, Department of Spatial Economics; University of Waikato - National Institute of Demographic and Economic Analysis; Motu Economic and Public Policy Research; IZA Institute of Labor Economics

Date Written: July 29, 2011

Abstract

The number of immigrants across the world has doubled since 1980. The estimates of the impact of immigration on wages and employment in host countries are quantitatively small but vary widely. We use meta-regression analysis to show how the estimates vary with definitions of the labor market, the extent of substitutability of foreign and native workers, and controls for endogeneity of immigrant settlement. On average, the impact on employment of the native born is smaller than on wages, and impacts are generally smaller in the U.S. than in other countries studied to date. From the policy perspective, attention must now focus on distributional and long-run productivity effects.

Keywords: immigration, labour market

JEL Classification: J61, J21

Suggested Citation

Longhi, Simonetta and Nijkamp, Peter and Poot, Jacques, The Economic Impact of Immigration on the Labor Market of Host Countries - Meta-Analytic Evidence (July 29, 2011). Tinbergen Institute Discussion Paper No. 11-103/3, Available at SSRN: https://ssrn.com/abstract=1898577 or http://dx.doi.org/10.2139/ssrn.1898577

Simonetta Longhi (Contact Author)

University of Essex - Institute for Social and Economic Research (ISER) ( email )

Wivenhoe Park
Colchester CO4 3SQ
United Kingdom

Institute for the Study of Labor (IZA) ( email )

P.O. Box 7240
Bonn, D-53072
Germany

Tinbergen Institute ( email )

Burg. Oudlaan 50
Rotterdam, 3062 PA
Netherlands

Peter Nijkamp

VU University of Amsterdam - Department of Spatial Economics ( email )

De Boelelaan 1105
1081HV Amsterdam
Netherlands
+31 20 4446091 (Phone)
+31 20 4445611 (Fax)

Tinbergen Institute

Gustav Mahlerplein 117
Amsterdam, 1082 MS
Netherlands

Jacques Poot

Vrije Universiteit Amsterdam, Department of Spatial Economics ( email )

De Boelelaan 1105
1081HV Amsterdam
Netherlands

University of Waikato - National Institute of Demographic and Economic Analysis ( email )

Te Raupapa
Private Bag 3105
Hamilton, 3240
New Zealand

Motu Economic and Public Policy Research

Level 1, 93 Cuba Street
P.O. Box 24390
Wellington, 6142
New Zealand

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

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