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What Happens to the Careers of European Workers when Immigrants "Take their Jobs"?

Author

Listed:
  • Cristina Cattaneo

    (FEEM)

  • Carlo V. Fiorio

    (University of Milano and Econpubblica)

  • Giovanni Peri

    (University of California, Davis and NBER)

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 their career, employment and wages. We use the 1991 distribution of immigrants by nationality across European labor markets to construct an imputed inflow of the foreign-born population that is exogenous to local demand shocks. We also control for .fixed effects that absorb individual, country-year, occupation group-year and occupation group-country heterogeneity and 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 enter their labor market. As a consequence of this upward mobility their wage income also increases with a 1-2 years lag. We find no evidence of an increase in their probability of becoming unemployed.

Suggested Citation

  • Cristina Cattaneo & Carlo V. Fiorio & Giovanni Peri, 2014. "What Happens to the Careers of European Workers when Immigrants "Take their Jobs"?," Working Papers 2014.54, Fondazione Eni Enrico Mattei.
  • Handle: RePEc:fem:femwpa:2014.54
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    References listed on IDEAS

    as
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    Citations

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    Cited by:

    1. Bosetti, Valentina & Cattaneo, Cristina & Verdolini, Elena, 2015. "Migration of skilled workers and innovation: A European Perspective," Journal of International Economics, Elsevier, vol. 96(2), pages 311-322.
    2. Barone, Guglielmo & D'Ignazio, Alessio & de Blasio, Guido & Naticchioni, Paolo, 2016. "Mr. Rossi, Mr. Hu and politics. The role of immigration in shaping natives' voting behavior," Journal of Public Economics, Elsevier, vol. 136(C), pages 1-13.
    3. Lewis, Ethan & Peri, Giovanni, 2015. "Immigration and the Economy of Cities and Regions," Handbook of Regional and Urban Economics, Elsevier.
    4. repec:oup:cesifo:v:63:y:2017:i:4:p:500-528. is not listed on IDEAS
    5. 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.
    6. Mette Foged & Giovanni Peri, 2013. "Immigrants' and Native Workers: New Analysis on Longitudinal Data," NBER Working Papers 19315, National Bureau of Economic Research, Inc.
    7. Cristina Cattaneo & Valentina Bosetti, 2017. "Climate-induced International Migration and Conflicts," CESifo Economic Studies, CESifo, vol. 63(4), pages 500-528.
    8. Ortega, Javier & Verdugo, Gregory, 2016. "Moving Up or Down? Immigration and the Selection of Natives across Occupations and Locations," IZA Discussion Papers 10303, Institute for the Study of Labor (IZA).
    9. Labanca, Claudio, 2016. "The Effects of a Temporary Migration Shock: Evidence from the Arab Spring Migration through Italy," University of California at San Diego, Economics Working Paper Series qt1fz17847, Department of Economics, UC San Diego.
    10. Barone, Guglielmo & D'Ignazio, Alessio & de Blasio, Guido & Naticchioni, Paolo, 2014. "Mr. Rossi, Mr. Hu and Politics: The Role of Immigration in Shaping Natives' Political Preferences," IZA Discussion Papers 8228, Institute for the Study of Labor (IZA).
    11. World Bank, "undated". "Europe and Central Asia Economic Update, October 2017," World Bank Other Operational Studies 28534, The World Bank.
    12. International Monetary Fund, 2016. "Austria; Selected Issues," IMF Staff Country Reports 16/51, International Monetary Fund.
    13. Amelie F. Constant, 2014. "Do migrants take the jobs of native workers?," IZA World of Labor, Institute for the Study of Labor (IZA), pages 1-10, May.

    More about this item

    Keywords

    Immigrants; Job Upgrading; Mobility; Self-employment; Europe;

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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