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Labor Market Effects of Immigration: Evidence from Neighborhood Data

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  • Thomas K. Bauer
  • Regina Flake
  • Mathias Sinning

Abstract

This paper combines individual-level data from the German Socio-Economic Panel (SOEP) with economic and demographic postcode-level data from administrative records to analyze the effects of immigration on wages and unemployment probabilities of high- and low-skilled natives. Employing an instrumental variable strategy and utilizing the variation in the population share of foreigners across regions and time, we find no support for the hypothesis of adverse labor market effects of immigration.

Suggested Citation

  • Thomas K. Bauer & Regina Flake & Mathias Sinning, 2011. "Labor Market Effects of Immigration: Evidence from Neighborhood Data," ANU Working Papers in Economics and Econometrics 2011-543, Australian National University, College of Business and Economics, School of Economics.
    • Handle: RePEc:acb:cbeeco:2011-543
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    File URL: https://www.cbe.anu.edu.au/researchpapers/econ/wp543.pdf
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    2. Tito Boeri & Marta De Philippis & Eleonora Patacchini & Michele Pellizzari, 2015. "Immigration, Housing Discrimination and Employment," Economic Journal, Royal Economic Society, vol. 125(586), pages 82-114, August.
    3. repec:zbw:rwirep:0271 is not listed on IDEAS
    4. Ortega, Javier & Verdugo, Gregory, 2014. "The impact of immigration on the French labor market: Why so different?," Labour Economics, Elsevier, vol. 29(C), pages 14-27.
    5. Uwe Blien & Linda Borrs & Jens Südekum & Katja Wolf, 2014. "Local Labour Markets and Cultural Diversity," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 12(2), pages 27-34, 07.
    6. Tito Boeri & Jan van Ours, 2013. "The Economics of Imperfect Labor Markets: Second Edition," Economics Books, Princeton University Press, edition 1, number 10142.
    7. Sinning, Mathias & Vorell, Matthias, 2011. "People's Attitudes and the Effects of Immigration to Australia," Ruhr Economic Papers 271, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    8. West Brady T. & Kreuter Frauke & Jaenichen Ursula, 2013. "“Interviewer” Effects in Face-to-Face Surveys: A Function of Sampling, Measurement Error, or Nonresponse?," Journal of Official Statistics, Sciendo, vol. 29(2), pages 277-297, September.
    9. K. Burggraeve & C. Piton, 2016. "The economic consequences of the flow of refugees into Belgium," Economic Review, National Bank of Belgium, issue i, pages 43-61, June.
    10. Elisabeth Bügelmayer & Daniel D. Schnitzlein, 2018. "Is it the family or the neighborhood? Evidence from sibling and neighbor correlations in youth education and health," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 16(3), pages 369-388, September.
    11. Costin-Alexandru Ciupureanu, 2014. "Does Emigration Affects Wages? A Case Study on Romania," Finante - provocarile viitorului (Finance - Challenges of the Future), University of Craiova, Faculty of Economics and Business Administration, vol. 1(16), pages 177-181, December.
    12. Sinning, Mathias & Vorell, Matthias, 2011. "There Goes the Neighborhood? People’s Attitudes and the Effects of Immigration to Australia," IZA Discussion Papers 5883, Institute of Labor Economics (IZA).
    13. Treude, Barbara, 2014. "The Effect of Ethnic Clustering on Migrant Integration in Germany," VfS Annual Conference 2014 (Hamburg): Evidence-based Economic Policy 100584, Verein für Socialpolitik / German Economic Association.
    14. Mathias Sinning & Matthias Vorell, 2011. "People‘s Attitudes and the Eff ects of Immigration to Australia," Ruhr Economic Papers 0271, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    15. Uwe Blien & Linda Borrs & Jens Südekum & Katja Wolf, 2014. "Local Labour Markets and Cultural Diversity," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 12(02), pages 27-34, July.

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    More about this item

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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