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The Impact of 9/11 and the London Bombings on the Employment and Earnings of U.K. Muslims

Author

Listed:
  • Faisal Rabby
  • William M. Rodgers

Abstract

Using a difference-in-differences framework, this paper estimates the impact that Britain's July 2005 bombings had on the labor market outcomes of UK residents who are either Muslim by religious affiliation or whose nativity profiles are similar to the terrorists. We find a 10 percentage point decrease in the employment of very young Muslim men relative to non-Muslim immigrants after the London bombings. The drop in employment is accompanied by consistent declines in real earnings and hours worked. A weak association between the 9-11 terrorist attacks and a drop in the employment of very young male immigrants from Muslim-majority countries is also found. The terrorist events had little impact on the employment of older men.

Suggested Citation

  • Faisal Rabby & William M. Rodgers, 2010. "The Impact of 9/11 and the London Bombings on the Employment and Earnings of U.K. Muslims," Economics of Security Working Paper Series 24, DIW Berlin, German Institute for Economic Research.
    • Handle: RePEc:diw:diweos:diweos24
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    File URL: https://www.diw.de/documents/publikationen/73/diw_01.c.354163.de/diw_econsec0024.pdf
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    Citations

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    Cited by:

    1. Anita Ratcliffe & Stephanie von Hinke Kessler Scholder, 2015. "The London Bombings And Racial Prejudice: Evidence From The Housing And Labor Market," Economic Inquiry, Western Economic Association International, vol. 53(1), pages 276-293, January.
    2. Simone Schüller, 2016. "The Effects of 9/11 on Attitudes toward Immigration and the Moderating Role of Education," Kyklos, Wiley Blackwell, vol. 69(4), pages 604-632, November.
    3. Ahmed Elsayed & Andries Grip, 2018. "Terrorism and the integration of Muslim immigrants," Journal of Population Economics, Springer;European Society for Population Economics, vol. 31(1), pages 45-67, January.
    4. Betul Turkum, 2023. "The Effect of Mass Migration on Economic Development," AMSE Working Papers 2332, Aix-Marseille School of Economics, France.
    5. Arne Risa Hole & Anita Ratcliffe, 2015. "The impact of the London bombings on the wellbeing of young Muslims," Working Papers 2015002, The University of Sheffield, Department of Economics.

    More about this item

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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