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Estimating the Impact of Immigration in Ireland

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  • Alan Barrett

    (Economic and Social Research Institute)

  • Adele Bergin

    (Economic and Social Research Institute)

Abstract

The core objective of this paper is to review the research which has been undertaken on estimating the economic impacts of immigration in Ireland. By way of providing context, the paper begins with an overview of Ireland’s recent experience of immigration and of the research which has been conducted on the associated issues such as the characteristics and experiences of immigrants. As the approach taken to estimating the impacts of immigration is based on simulations using a model of Ireland’s labour market, details of the model are provided. Results from two studies are then presented. One study tended to show unambiguously positive outcomes, such as increased national output and reduced earnings inequality. However, a second study called into question the earlier findings on earnings inequality. While immigrants in Ireland are generally high-skilled, many were found to be working in occupations below their skill levels. Hence, high-skilled immigrants may be competing in the labour market with low-skilled natives. Accounting for this in the simulation exercises showed how immigration may have negatively impacted upon the earnings of low-skilled workers in Ireland.

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Bibliographic Info

Article provided by Nordic Journal of Political Economy in its journal Nordic Journal of Political Economy.

Volume (Year): 35 (2009)
Issue (Month): ()
Pages: 2

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Handle: RePEc:noj:journl:v:35:y:2009:p:2

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Related research

Keywords: Immigration; Ireland; wages;

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References

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  1. Barrett, Alan & FitzGerald, John & Nolan, Brian, 2002. "Earnings inequality, returns to education and immigration into Ireland," Labour Economics, Elsevier, vol. 9(5), pages 665-680, November.
  2. George J. Borjas & Richard B. Friedman & Lawrence F. Katz, 1997. "How Much Do Immigration and Trade Affect Labor Market Outcomes?," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 28(1), pages 1-90.
  3. David H. Autor & Lawrence F. Katz & Alan B. Krueger, 1997. "Computing Inequality: Have Computers Changed the Labor Market?," NBER Working Papers 5956, National Bureau of Economic Research, Inc.
  4. Christian Dustmann & Albrecht Glitz & Tommaso Frattini, 2008. "The Labour Market Impact of Immigration," CReAM Discussion Paper Series 0811, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  5. David Duffy & John Fitz Gerald & Ide Kearney, 2005. "Rising House Prices in an Open Labour Market," The Economic and Social Review, Economic and Social Studies, vol. 36(3), pages 251-272.
  6. Seamus McGuinness & Frances McGinnity & Philip J. O'Connell, 2009. "Changing Returns to Education During a Boom? The Case of Ireland," LABOUR, CEIS, vol. 23(s1), pages 197-221, 03.
  7. Alan Barrett & David Duffy, 2007. "Are Ireland's Immigrants Integrating into its Labour Market?," Papers WP199, Economic and Social Research Institute (ESRI).
  8. Bergin, Adele & Kearney, Ide, 2007. "Human capital accumulation in an open labour market: Ireland in the 1990s," Economic Modelling, Elsevier, vol. 24(6), pages 839-858, November.
  9. Bradley, John & Whelan, Karl & Wright, Jonathan, 1995. "HERMIN Ireland," Economic Modelling, Elsevier, vol. 12(3), pages 249-274, July.
  10. Gianmarco I.P. Ottaviano & Giovanni Peri, 2006. "Rethinking the Effects of Immigration on Wages," NBER Working Papers 12497, National Bureau of Economic Research, Inc.
  11. 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.
  12. Rachel M. Friedberg, 2001. "The Impact Of Mass Migration On The Israeli Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 116(4), pages 1373-1408, November.
  13. John FitzGerald & Ide Kearney, 2000. "Convergence in Living Standards in Ireland: The Role of the New Economy," Papers WP134, Economic and Social Research Institute (ESRI).
  14. Bradley, John & Fitzgerald, John, 1988. "Industrial output and factor input determination in an econometric model of a small open economy," European Economic Review, Elsevier, vol. 32(6), pages 1227-1241, July.
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