IDEAS home Printed from https://ideas.repec.org/a/spr/jopoec/v7y1994i2p177-92.html
   My bibliography  Save this article

Native Wage Impacts of Foreign Labor: A Random Effects Panel Analysis

Author

Listed:
  • De New, John P
  • Zimmermann, Klaus F

Abstract

Natives often fear that competition from foreigners in labour markets will cause wages to fall and unemployment to rise. These effects might actually be realized if natives and immigrants were substitutes. If they are complements, however, the result might be rather different. This paper outlines the issue in a framework with two types of labour, such that low-quality workers (natives and immigrants) are potential complements to high-quality (native) workers. It is hypothesized that this is a stylized description of the past West German immigration problem. Examining the wage functions of white and blue collar natives in a random effects panel model using a large sample of micro data, we find that foreigners have a negative effect on the wages of Germans as a whole. Relatively small gains are made by white collar employees with less than 20 years work experience, but these are outweighed by the larger negative effects experienced by blue collar employees.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • De New, John P & Zimmermann, Klaus F, 1994. "Native Wage Impacts of Foreign Labor: A Random Effects Panel Analysis," Journal of Population Economics, Springer;European Society for Population Economics, vol. 7(2), pages 177-192.
  • Handle: RePEc:spr:jopoec:v:7:y:1994:i:2:p:177-92
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    More about this item

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:jopoec:v:7:y:1994:i:2:p:177-92. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla) or (Rebekah McClure). General contact details of provider: http://www.springer.com .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.