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Immigration, factor endowments and the productive structure of Spanish regions

Author

Listed:
  • Guadalupe Serrano

    (Dept. of Economic Analysis. Faculty of Economics. University of Valencia)

  • Francisco Requena

    (Dept. of Economic Analysis. Faculty of Economics. University of Valencia)

  • Joan Martin-Montaner

    (Dept. of Economics. Universitat Jaume I de Castelló)

Abstract

Participation of immigrants in Spanish labour market increased from less than 3 percent in 1996 to more than 13 percent in 2005. We use the factor proportion model of production to examine the impact of such a large labour supply shock on the industrial structure of Spanish regions. The results confirm that, first, labour endowment differences across regions help to explain the pattern of industry specialisation across regions. Second, immigrants and natives act as complementary factors in most industries. Third, the importance of immigration is relatively small compared to production technique changes and idiosyncratic industry changes in explaining the overall changes in industrial structure from 1996 to 2005.

Suggested Citation

  • Guadalupe Serrano & Francisco Requena & Joan Martin-Montaner, 2010. "Immigration, factor endowments and the productive structure of Spanish regions," Working Papers 1003, Department of Applied Economics II, Universidad de Valencia.
    • Handle: RePEc:eec:wpaper:1003
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    References listed on IDEAS

    as
    1. Amuedo-Dorantes, Catalina & de la Rica, Sara, 2011. "Complements or substitutes? Task specialization by gender and nativity in Spain," Labour Economics, Elsevier, vol. 18(5), pages 697-707, October.
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    More about this item

    Keywords

    Rybczynski Effect; immigration; production specialisation; technological change;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies

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