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Driver’s license reforms and job accessibility among undocumented immigrants

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  • Cho, Heepyung

Abstract

I analyze how allowing undocumented immigrants to legally obtain driver’s licenses shifts commuting patterns, increases job accessibility, and improves labor market outcomes. Using state- and nativity-level variation in reforms, I show that granting driving privileges to the undocumented increases vehicle ownership and the probability of car commute by 3 percentage points. This improvement in accessibility leads to a 1 percentage point increase in the employment rate. The employment effects are larger in low-accessibility localities, which are more rural and entail longer commuting times. Undocumented immigrants exhibit stronger positive employment effects in more vehicle-dependent occupations. These findings highlight the quantitative importance of transportation barriers in determining the labor market outcomes of minority workers.

Suggested Citation

  • Cho, Heepyung, 2022. "Driver’s license reforms and job accessibility among undocumented immigrants," Labour Economics, Elsevier, vol. 76(C).
    • Handle: RePEc:eee:labeco:v:76:y:2022:i:c:s0927537122000653
    DOI: 10.1016/j.labeco.2022.102174
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    References listed on IDEAS

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    4. Karadja, Mounir & Sundberg, Anton, 2023. "The labor market impact of a taxi driver’s license," Working Paper Series 2023:6, IFAU - Institute for Evaluation of Labour Market and Education Policy.

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    More about this item

    Keywords

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    JEL classification:

    • K37 - Law and Economics - - Other Substantive Areas of Law - - - Immigration Law
    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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