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The Labor Market Impact of Immigration: A Quasi-Experiment Exploiting Immigrant Location Rules in Germany

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  • Albrecht Glitz

Abstract

With the fall of the Berlin Wall, ethnic Germans living in eastern Europe and the former Soviet Union were given the opportunity to migrate to Germany. Within 15 years, 2.8 million individuals had done so. Upon arrival, these immigrants were exogenously allocated to different regions to ensure an even distribution across the country. Their inflow can therefore be seen as a quasi-experiment of immigration. I analyze the effect of these inflows on skill-specific employment rates and wages. The results indicate a displacement effect of 3.1 unemployed workers for every 10 immigrants that find a job, but no effect on relative wages.

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File URL: http://www.jstor.org/stable/pdfplus/10.1086/662143
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File URL: http://www.jstor.org/stable/full/10.1086/662143
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Bibliographic Info

Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 30 ()
Issue (Month): 1 ()
Pages: 175 - 213

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Handle: RePEc:ucp:jlabec:doi:10.1086/662143

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Web page: http://www.journals.uchicago.edu/JOLE/

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Cited by:
  1. Heid, Benedikt & Larch, Mario, 2011. "Migration, trade and unemployment," Economics Discussion Papers 2011-45, Kiel Institute for the World Economy.

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