Minimum wages and the creation of illegal migration
AbstractIn this paper, we explore employersâ€™ decisions regarding the employment of legal and illegal immigrants in the presence of endogenous adjustment cost, minimum wages and an enforcement budget. We show that increasing the employment of legal foreign workers will increase the number of illegal immigrants which will replace the employment of the local population and thus creating illegal migration.
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Bibliographic InfoPaper provided by Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London in its series CReAM Discussion Paper Series with number 1306.
Date of creation: Feb 2013
Date of revision:
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illegal immigration; foreign worker; minimum wages.;
Other versions of this item:
- Gil S. Epstein & Odelia Heizler (Cohen), 2013. "Minimum wages and the creation of illegal migration," Economics Bulletin, AccessEcon, vol. 33(1), pages 434-441.
- Epstein, Gil S. & Heizler (Cohen), Odelia, 2013. "Minimum Wages and the Creation of Illegal Migration," IZA Discussion Papers 7220, Institute for the Study of Labor (IZA).
- Gil S. Epstein & Odelia Heizler (Cohen), 2013. "Minimum Wages and the Creation of Illegal Migration," Working Papers 2013-02, Department of Economics, Bar-Ilan University.
- J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
- K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
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- Gil S. Epstein & Odelia Heizler, 2007.
"Illegal Migration, Enforcement and Minimum Wage,"
CReAM Discussion Paper Series
0708, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
- Paul Levine, 1999. "The welfare economics of immigration control," Journal of Population Economics, Springer, vol. 12(1), pages 23-43.
- Faria, Joao Ricardo & Levy, Amnon, 2003. "Illegal Immigration and Migrant Networks: Is There an Optimal Immigration Quota Policy?," Economics Working Papers wp03-08, School of Economics, University of Wollongong, NSW, Australia.
- Epstein, Gil S & Hillman, Arye L. & Weiss, Avi, 1998.
"Creating Illegal Immigrants,"
CEPR Discussion Papers
1796, C.E.P.R. Discussion Papers.
- Epstein, Gil S, 2000.
"Labour Market Interactions Between Legal and Illegal Immigrants,"
CEPR Discussion Papers
2602, C.E.P.R. Discussion Papers.
- Gil S. Epstein, 2003. "Labor Market Interactions Between Legal and Illegal Immigrants," Review of Development Economics, Wiley Blackwell, vol. 7(1), pages 30-43, February.
- Epstein, Gil S., 2000. "Labor Market Interactions Between Legal and Illegal Immigrants," IZA Discussion Papers 204, Institute for the Study of Labor (IZA).
- Devillanova, Carlo, 2008. "Social networks, information and health care utilization: Evidence from undocumented immigrants in Milan," Journal of Health Economics, Elsevier, vol. 27(2), pages 265-286, March.
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