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Do immigrants working illegally reduce the natives' legal employment? Evidence from Italy

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Author Info
Alessandra Venturini () (Department of Economics, University of Bergamo, Piazza Rosate 2, I-24100 Bergamo, Italy)

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Abstract

The paper uses estimates, provided by the Central Statistical Office, of standard units of labour to examine how immigrants working (illegally) in the shadow economy affect the employment of (legal) labour in the official economy. The results of our cross sector-time series analysis of the demand for legal labour in the Italian economy between 1980 and 1995 show that the increase of illegal units of labour produces a reduction in the use of legal labour, albeit a very limited one. An analysis by sectors shows that the competitive effect of illegal foreign workers is not homogeneous and is strongest in the agricultural sector, while complementarity between the two categories of labour is evident in the non-tradable services sector. Furthermore, when the effects of illegal foreign and illegal native workers are compared, the former is smaller than the latter one, with illegal foreigners workers just reinforcing the impact of the illegal nationals on the labour market.

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Publisher Info
Article provided by Springer in its journal Journal of Population Economics.

Volume (Year): 12 (1999)
Issue (Month): 1 ()
Pages: 135-154
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Handle: RePEc:spr:jopoec:v:12:y:1999:i:1:p:135-154

Note: Received: 27 June 1997/Accepted: 31 August 1998
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Related research
Keywords: Illegal immigrants · underground economy · employment of legal workers;

Find related papers by JEL classification:
J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
F22 - International Economics - - International Factor Movements and International Business - - - International Migration

Cited by:
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  1. Epstein, Gil S & Weiss, Avi, 2001. "A Theory of Immigration Amnesties," CEPR Discussion Papers 2830, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  2. Javier Ferri & Antonio Gómez Gómez-Plana & Joan Martín Montaner, 2001. "International immigration and mobility across sectors: an exploration of alternative scenarios for Spain," Documentos de Trabajo - Lan Gaiak Departamento de Economía - Universidad Pública de Navarra 0116, Departamento de Economía - Universidad Pública de Navarra. [Downloadable!]
    Other versions:
  3. Daniela del Boca & Alessandra Venturini, 2001. "Italian Migration," CHILD Working Papers wp26_01, CHILD - Centre for Household, Income, Labour and Demographic economics - ITALY. [Downloadable!]
    Other versions:
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This page was last updated on 2009-11-25.

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