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What Happens to the Careers of European Workers When Immigrants “Take Their Jobs†?

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  • Cristina Cattaneo
  • Carlo V. Fiorio
  • Giovanni Peri

Abstract

Following a representative longitudinal sample of native European residents over the period 1995–2001, we identify the effect of the inflows of immigrants on natives’ career, employment, and wages. We control for individual, country- year, occupation group- year, and occupation group- country heterogeneity and shocks, and construct an imputed inflow of the foreign-born population that is exogenous to local demand shocks. We find that native European workers are more likely to move to occupations associated with higher skills and status when a larger number of immigrants enters their labor market. We find no evidence of an increase in their probability of becoming unemployed.

Suggested Citation

  • Cristina Cattaneo & Carlo V. Fiorio & Giovanni Peri, 2015. "What Happens to the Careers of European Workers When Immigrants “Take Their Jobs†?," Journal of Human Resources, University of Wisconsin Press, vol. 50(3), pages 655-693.
  • Handle: RePEc:uwp:jhriss:v:50:y:2015:i:3:p:655-693
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    References listed on IDEAS

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    1. Cohen-Goldner, Sarit & Paserman, M. Daniele, 2011. "The dynamic impact of immigration on natives' labor market outcomes: Evidence from Israel," European Economic Review, Elsevier, vol. 55(8), pages 1027-1045.
    2. Card, David, 2001. "Immigrant Inflows, Native Outflows, and the Local Labor Market Impacts of Higher Immigration," Journal of Labor Economics, University of Chicago Press, vol. 19(1), pages 22-64, January.
    3. John DiNardo & David Card, 2000. "Do Immigrant Inflows Lead to Native Outflows?," American Economic Review, American Economic Association, vol. 90(2), pages 360-367, May.
    4. Andri Chassamboulli & Theodore Palivos, 2014. "A Search‐Equilibrium Approach To The Effects Of Immigration On Labor Market Outcomes," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 55, pages 111-129, February.
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    Citations

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    Cited by:

    1. Benjamin Hilgenstock & Zsoka Koczan, 2018. "Storm Clouds Ahead? Migration and Labor Force Participation Rates in Europe," IMF Working Papers 18/148, International Monetary Fund.
    2. Naguib, Costanza, 2019. "Estimating the Heterogeneous Impact of the Free Movement of Persons on Relative Wage Mobility," Economics Working Paper Series 1903, University of St. Gallen, School of Economics and Political Science.
    3. Jaeger, David A & Ruist, Joakim & Stuhler, Jan, 2018. "Shift-Share Instruments and the Impact of Immigration," CEPR Discussion Papers 12701, C.E.P.R. Discussion Papers.
    4. Francesco Grigoli & Zsoka Koczan & Petia Topalova, 2018. "Drivers of Labor Force Participation in Advanced Economies: Macro and Micro Evidence," IMF Working Papers 18/150, International Monetary Fund.
    5. Joseph Price & Christian vom Lehn & Riley Wilson, 2020. "The Winners and Losers of Immigration: Evidence from Linked Historical Data," NBER Working Papers 27156, National Bureau of Economic Research, Inc.
    6. Cristina Cattaneo & Valentina Bosetti, 2017. "Climate-induced International Migration and Conflicts," CESifo Economic Studies, CESifo, vol. 63(4), pages 500-528.
    7. Ortega, Javier & Verdugo, Gregory, 2016. "Moving Up or Down? Immigration and the Selection of Natives across Occupations and Locations," IZA Discussion Papers 10303, Institute of Labor Economics (IZA).
    8. Sara Signorelli, 2020. "Do Skilled Migrants Compete with Native Workers? Analysis of a Selective Immigration Policy," PSE Working Papers halshs-01983071, HAL.
    9. Massimo Bordignon & Matteo Gamalerio & Edoardo Slerca & Gilberto Turati, 2020. "Stop invasion! The electoral tipping point in anti-immigrant voting," DISCE - Working Papers del Dipartimento di Economia e Finanza def086, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    10. Francesco Flaviano Russo, 2018. "Immigration and Nationalism: The Importance of Identity," CSEF Working Papers 511, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
    11. Christoph Basten & Michael Siegenthaler, 2019. "Do Immigrants Take or Create Residents’ Jobs? Evidence from Free Movement of Workers in Switzerland," Scandinavian Journal of Economics, Wiley Blackwell, vol. 121(3), pages 994-1019, July.
    12. International Monetary Fund, 2016. "Austria; Selected Issues," IMF Staff Country Reports 16/51, International Monetary Fund.

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