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Effect of immigrant nurses on labor market outcomes of US nurses

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Author Info

  • Kaestner, Robert
  • Kaushal, Neeraj

Abstract

We study the effect of immigration of foreign-trained, registered nurses (RNs) on the employment and wages of US-trained RNs. We use the “area” approach and study effects of immigration in labor markets defined by the state. We find substantial evidence that immigration by foreign-trained nurses increases the supply of nurses and that this increase in supply is associated with a decrease in annual earnings. Estimates suggest that a 10% increase in supply due to immigration is associated with a 1–4% decrease in annual earnings, although most estimates were not statistically significant and we did not find a similar association between an increase in supply and wages.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Urban Economics.

Volume (Year): 71 (2012)
Issue (Month): 2 ()
Pages: 219-229

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Handle: RePEc:eee:juecon:v:71:y:2012:i:2:p:219-229

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Web page: http://www.elsevier.com/locate/inca/622905

Related research

Keywords: Immigration; Nurses; Wages; Employment;

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References

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  1. Hirsch, B.T. & Schumacher, E.J., 1993. "Monopsony Power and Relative Wages in the Labor Market for Nurses," Working Papers 1993_06_03, Department of Economics, Florida State University.
  2. Card, David, 2001. "Immigrant Inflows, Native Outflows, and the Local Labor Market Impacts of Higher Immigration," Journal of Labor Economics, University of Chicago Press, vol. 19(1), pages 22-64, January.
  3. David Card, 2004. "Is the New Immigration Really So Bad?," CReAM Discussion Paper Series 0402, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  4. George J. Borjas, 2003. "The Labor Demand Curve Is Downward Sloping: Reexamining The Impact Of Immigration On The Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 118(4), pages 1335-1374, November.
  5. Adamache, Killard W. & Sloan, Frank A., 1982. "Unions and hospitals : Some unresolved issues," Journal of Health Economics, Elsevier, vol. 1(1), pages 81-108, May.
  6. Murphy, Kevin M & Topel, Robert H, 2002. "Estimation and Inference in Two-Step Econometric Models," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(1), pages 88-97, January.
  7. Giovanni Peri & Chad Sparber, 2008. "Task Specialization, Immigration, and Wages," CReAM Discussion Paper Series 0802, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  8. James W. Hardin & Henrik Schmeidiche & Raymond J. Carroll, 2003. "The regression-calibration method for fitting generalized linear models with additive measurement error," Stata Journal, StataCorp LP, vol. 3(4), pages 373-385, December.
  9. George J. Borjas & Lawrence F. Katz, 2007. "The Evolution of the Mexican-Born Workforce in the United States," NBER Chapters, in: Mexican Immigration to the United States, pages 13-56 National Bureau of Economic Research, Inc.
  10. David Card, 2009. "Immigration and Inequality," American Economic Review, American Economic Association, vol. 99(2), pages 1-21, May.
  11. James W. Hardin & Henrik Schmeidiche & Raymond J. Carroll, 2003. "The regression-calibration method for fitting generalized linear models with additive measurement error," Stata Journal, StataCorp LP, vol. 3(4), pages 361-372, December.
  12. Gordon H. Hanson, 2007. "Emigration, Remittances and Labor Force Participation in Mexico," IDB Publications 9371, Inter-American Development Bank.
  13. Hirsch, Barry T. & Schumacher, Edward J., 2005. "Classic or new monopsony? Searching for evidence in nursing labor markets," Journal of Health Economics, Elsevier, vol. 24(5), pages 969-989, September.
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