The Impact of Amnesty on Labor Market Outcomes: A Panel Study Using the Legalized Population Survey
This paper tests whether amnesty, a provision of the 1986 Immigration Reform and Control Act (IRCA), affected the labor market outcomes of the legalized population. Using the Legalized Population Survey (LPS) and the National Longitudinal Survey of Youth (NLSY79) from 1987-1992, a quasi-experimental framework is developed to assess the differential impact of amnesty on the legalized population relative to a comparison group. After the implementation of the amnesty program, employment fell and unemployment rose for newly legalized men relative to the comparison group of already legal U.S. residents. For women, employment also fell and transitions out of the workforce increased among the newly legalized population. Increasing returns to skill, as captured by English proficiency, only played an important role in explaining the employment of newly legalized women. Finally, newly legalized men and women enjoyed higher wage growth rates than their working native counterparts, perhaps owing to their comparatively growing returns to U.S. educational attainment over this period.
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- Pia Orrenius & Madeline Zavodny, 2003. "Do amnesty programs reduce undocumented immigration? Evidence from Irca," Demography, Springer, vol. 40(3), pages 437-450, August.
- Sherrie A. Kossoudji & Deborah A. Cobb-Clark, 2000. "IRCA's impact on the occupational concentration and mobility of newly-legalized Mexican men," Journal of Population Economics, Springer, vol. 13(1), pages 81-98.
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- Sherrie A. Kossoudji & Deborah A. Cobb-Clark, 2002.
"Coming out of the Shadows: Learning about Legal Status and Wages from the Legalized Population,"
Journal of Labor Economics,
University of Chicago Press, vol. 20(3), pages 598-628, July.
- Kossoudji, S.A. & Cobb-Clark, D.A., 1996. "Coming Out of the Shadows: Learning About Legal Status and Wages from the Legalized Population," CEPR Discussion Papers 347, Centre for Economic Policy Research, Research School of Economics, Australian National University.
- C. Bansak & S. Raphael, . "Immigration Reform and the Earnings of Latino Workers: Do Employer Sanctions Cause Discrimination?," Institute for Research on Poverty Discussion Papers 1181-98, University of Wisconsin Institute for Research on Poverty.
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- Black, Dan A, 1995. "Discrimination in an Equilibrium Search Model," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 309-33, April.
- Francisco L. Rivera-Batiz, 1999. "Undocumented workers in the labor market: An analysis of the earnings of legal and illegal Mexican immigrants in the United States," Journal of Population Economics, Springer, vol. 12(1), pages 91-116.
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