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Immigration and displacement across local labour markets

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  • Giulietti, Corrado

Abstract

This paper investigates the impact of contemporary flows of immigrants on internal movements of natives and earlier immigrants across the local authorities of England and Wales. To analyse the impact of immigration, a theoretical framework where natives and immigrants are imperfect substitutes is adopted. The econometric analysis, based on the instrumental variable approach proposed by Card (2001), shows that immigration does not displace native working-age population; instead, flows of natives are complementary with those of new immigrants. There is evidence of displacement for earlier immigrants, with a substantial impact for those with no or low qualifications. Robustness tests are provided to corroborate the results Keywords; census, displacement, england and wales, migration, local authority

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Bibliographic Info

Paper provided by Economics Division, School of Social Sciences, University of Southampton in its series Discussion Paper Series In Economics And Econometrics with number 0917.

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Date of creation: 01 Jan 2009
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Handle: RePEc:stn:sotoec:0917

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  1. Timothy J. Hatton & Massimiliano Tani, 2005. "Immigration and Inter-Regional Mobility in the UK, 1982-2000," Economic Journal, Royal Economic Society, vol. 115(507), pages F342-F358, November.
  2. Steven Stillman & David C. Maré, 2007. "The Impact of Immigration on the Geographic Mobility of New Zealanders," Working Papers 07_05, Motu Economic and Public Policy Research.
  3. Finis Welch, 1999. "In Defense of Inequality," American Economic Review, American Economic Association, vol. 89(2), pages 1-17, May.
  4. George J. Borjas, 2006. "Native Internal Migration and the Labor Market Impact of Immigration," Journal of Human Resources, University of Wisconsin Press, vol. 41(2).
  5. Christian Dustmann & Francesca Fabbri & Ian Preston, 2005. "The Impact of Immigration on the British Labour Market," Economic Journal, Royal Economic Society, vol. 115(507), pages F324-F341, November.
  6. David Card, 1997. "Immigrant Inflows, Native Outflows, and the Local Labor Market Impacts of Higher Immigration," NBER Working Papers 5927, National Bureau of Economic Research, Inc.
  7. George J. Borjas, 2003. "The Labor Demand Curve Is Downward Sloping: Reexamining The Impact Of Immigration On The Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 118(4), pages 1335-1374, November.
  8. Giovanni Peri & Chad Sparber, 2007. "Task Specialization, Comparative Advantages, and the Effects of Immigration on Wages," NBER Working Papers 13389, National Bureau of Economic Research, Inc.
  9. Randall Filer, 1992. "The Effect of Immigrant Arrivals on Migratory Patterns of Native Workers," NBER Chapters, in: Immigration and the Workforce: Economic Consequences for the United States and Source Areas, pages 245-270 National Bureau of Economic Research, Inc.
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