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The Short-Term Labour Market Impact of Venezuelan Immigration in Peru

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  • Celia P. Vera
  • Bruno Jiménez

Abstract

We estimate the labour market impact of Venezuelan immigration in Peru using a skill-cell approach that defines labour markets by occupations. To address endogeneity, we implement an instrumental-variable strategy based on migrants’ pre-migration occupations. Our findings indicate that the burden of migration falls primarily on informal native workers, who experience wage declines, while employment levels remain stable. Specifically, a 10 per cent increase in immigration reduces hourly wages of informal natives by 0.27 per cent . Evidence on hours worked is less robust, but point estimates suggest a small increase (0.19%) among informal workers. These results highlight the labour market effects of migration in contexts characterised by high informality and migrants with higher relative education, a common but understudied phenomenon in developing countries.

Suggested Citation

  • Celia P. Vera & Bruno Jiménez, 2026. "The Short-Term Labour Market Impact of Venezuelan Immigration in Peru," Journal of Development Studies, Taylor & Francis Journals, vol. 62(7), pages 1225-1247, July.
    • Handle: RePEc:taf:jdevst:v:62:y:2026:i:7:p:1225-1247
    DOI: 10.1080/00220388.2025.2590456
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