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Why Immigration Is an Urban Phenomenon

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Abstract

Immigration is fundamentally an urban phenomenon. Both in the United States and elsewhere, immigrants settle primarily in cities—especially high-wage, high cost-of-living cities. The most likely reason is that immigrants often send a significant share of their income back to their origin country. As a result, they value a city’s high wages and are less discouraged by the high living costs than native-born workers. Migration policies can reinforce this urban concentration pattern.

Suggested Citation

  • Joan Monras, 2023. "Why Immigration Is an Urban Phenomenon," FRBSF Economic Letter, Federal Reserve Bank of San Francisco, vol. 2023(16), pages 1-5, July.
    • Handle: RePEc:fip:fedfel:96415
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    References listed on IDEAS

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    1. Joan Monras, 2020. "Immigration and Wage Dynamics: Evidence from the Mexican Peso Crisis," Journal of Political Economy, University of Chicago Press, vol. 128(8), pages 3017-3089.
    2. Christoph Albert & Joan Monras, 2022. "Immigration and Spatial Equilibrium: The Role of Expenditures in the Country of Origin," American Economic Review, American Economic Association, vol. 112(11), pages 3763-3802, November.
    3. Glaeser, Edward L., 2008. "Cities, Agglomeration, and Spatial Equilibrium," OUP Catalogue, Oxford University Press, number 9780199290444.
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