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The Long-term Relationship Between International Labour Migration and Unemployment in Spain

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  • Alexandra M. Espinosa

    (Escuela Politécnica Nacional)

  • Ignacio Díaz-Emparanza

    (University of the Basque Country)

Abstract

This paper analyzes the relationship between the international immigration rates and the unemployment rate in Spain for the period 1981–2016. During this period, immigration and employment grew rapidly, but in 2008, the Spanish economy collapsed with a significant increase in unemployment. This paper shows that, due to the characteristics of the migration policy in Spain, unemployment and immigration are cointegrated and, in addition, immigration causes unemployment. This causal relationship is positive, in the sense that the greater the immigration, the greater the unemployment. Last but not least, we find a positive long-term relation between immigration flows and GDP per capita growth.

Suggested Citation

  • Alexandra M. Espinosa & Ignacio Díaz-Emparanza, 2021. "The Long-term Relationship Between International Labour Migration and Unemployment in Spain," Journal of International Migration and Integration, Springer, vol. 22(1), pages 145-166, March.
    • Handle: RePEc:spr:joimai:v:22:y:2021:i:1:d:10.1007_s12134-019-00716-6
    DOI: 10.1007/s12134-019-00716-6
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