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Immigration Enforcement and the Hiring of Low-Skilled Labor

Author

Listed:
  • Catalina Amuedo-Dorantes
  • Esther Arenas-Arroyo
  • Bernhard Schmidpeter

Abstract

We examine how firms adjust their labor demand to immigration policy changes resulting from intensified interior immigration enforcement. Using the temporal and geographic variation in the adoption of such policies as a source of identification, we find that firms boost their demand for low-skilled foreign-born labor under the H-2B visa program as enforcement intensifies. Furthermore, firms' increased demand for guest workers is inversely related to natives' employment in occupations where most H-2B workers are hired; however, it does not seem to alter natives' wages or work hours, nor does it seem to redistribute native labor away from those occupations.

Suggested Citation

  • Catalina Amuedo-Dorantes & Esther Arenas-Arroyo & Bernhard Schmidpeter, 2021. "Immigration Enforcement and the Hiring of Low-Skilled Labor," AEA Papers and Proceedings, American Economic Association, vol. 111, pages 593-597, May.
    • Handle: RePEc:aea:apandp:v:111:y:2021:p:593-97
    DOI: 10.1257/pandp.20211115
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    Cited by:

    1. Arenas-Arroyo, Esther & Schmidpeter, Bernhard, 2022. "Spillover effects of immigration policies on children's human capital," Ruhr Economic Papers 974, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

    More about this item

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M51 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Firm Employment Decisions; Promotions
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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