Full Citation

Title: A Human Capital Framework for the Analysis of Relative Wage Effects of Immigration

Citation Type: Miscellaneous

Publication Year: 2014

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Abstract: This article presents a new structural framework for estimating the impact of the last decades of immigration on the structure of wages in the US. The arguments of the proposed partial equilibrium model are skills instead of workers. From this simple difference follows several important theoretical advantages over models used previously. Empirically the proposed model outperforms previous models in explaining developments in the US wage structure over the last 50 years, and the results are more in line with theoretical expectations. In contrast to what is found in previous studies, the simulated aggregate impact of immigration is very small for all workers, including for high school dropouts. This aggregate result masks important variation by immigrant origin though, where Latin American immigration has contributed to increasing earnings dispersion among native workers and all other immigration to decreasing it.

Url: http://www.economics.handels.gu.se/digitalAssets/1484/1484026_ruist-human-capital-framework.pdf

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Authors: Ruist, Joakim

Publisher: University of Gothenburg

Data Collections: IPUMS USA, IPUMS CPS

Topics: Labor Force and Occupational Structure, Migration and Immigration

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