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Moving to Segregation: Evidence from 8 Italian Cities

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  • Boeri, Tito

    (Bocconi University)

  • De Philippis, Marta

    (Bank of Italy)

  • Patacchini, Eleonora

    (Cornell University)

  • Pellizzari, Michele

    (University of Geneva)

Abstract

We use a new dataset and a novel identification strategy to analyze the effects of residential segregation on the employment of migrants in 8 Italian cities. Our data, which are representative of the population of both legal and illegal migrants, allow us to measure segregation at the very local level (the block) and include measures of house prices, commuting costs and migrants' linguistic ability. We find evidence that migrants who reside in areas with a high concentration of non-Italians are less likely to be employed compared to similar migrants who reside in less segregated areas. In our preferred specification, a 10 percentage points increase in residential segregation reduces the probability of being employed by 7 percentage points or about 8% over the average. Additionally, we also show that this effect emerges only above a critical threshold of 15-20% of migrants over the total local population, below which there is no statistically detectable effect. The negative externality associated with residential segregation arises only for the employment prospects of immigrants, whether legal or illegal. We do not find evidence of either spatial mismatch or skill bias as potential explanations of this effect. Statistical discrimination by native employers is the remaining suspect.

Suggested Citation

  • Boeri, Tito & De Philippis, Marta & Patacchini, Eleonora & Pellizzari, Michele, 2012. "Moving to Segregation: Evidence from 8 Italian Cities," IZA Discussion Papers 6834, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp6834
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    Cited by:

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    3. Christian Dustmann & Francesco Fasani & Biagio Speciale, 2017. "Illegal Migration and Consumption Behavior of Immigrant Households," Journal of the European Economic Association, European Economic Association, vol. 15(3), pages 654-691.
    4. Eve Caroli & Mathilde Godard, 2013. "Does Job Insecurity Deteriorate Health ? A Causal Approach for Europe," Working Papers 2013-13, Center for Research in Economics and Statistics.
    5. Alex Bryson & Giambattista Rossi & Rob Simmons, 2012. "Why Are Migrants Paid More?," CEP Discussion Papers dp1134, Centre for Economic Performance, LSE.
    6. Alex Bryson & Giambattista Rossi & Rob Simmons, 2012. "Why Are Migrants Paid More?," CEP Discussion Papers dp1134, Centre for Economic Performance, LSE.
    7. Tommaso Colussi, 2013. "Migrant Networks and Job Search Outcomes: Evidence from Displaced Workers," Working Papers 706, Queen Mary University of London, School of Economics and Finance.
    8. 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.
    9. Simone Schüller & Tanika Chakraborty, 2022. "Ethnic enclaves and immigrant economic integration," IZA World of Labor, Institute of Labor Economics (IZA), pages 287-287, March.
    10. Patacchini, Eleonora & Zenou, Yves, 2012. "Ethnic networks and employment outcomes," Regional Science and Urban Economics, Elsevier, vol. 42(6), pages 938-949.
    11. Jordi Jofre-Monseny & Pilar Sorribas-Navarro & Javier Vázquez-Grenno, 2016. "Immigration and local spending in social services: evidence from a massive immigration wave," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 23(6), pages 1004-1029, December.
    12. White, Michael & Bryson, Alex, 2017. "Do Migrants Lower Workplace Wages?," IZA Discussion Papers 10549, Institute of Labor Economics (IZA).
    13. Vargas, F. & Guillard, Charlotte & Salazar, Monica & Crespi, G.A., 2022. "Harmonized Latin American innovation Surveys Database (LAIS)," MERIT Working Papers 2022-020, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    14. Colussi, Tommaso, 2015. "Migrant Networks and Job Search Outcomes: Evidence from Displaced Workers," IZA Discussion Papers 9339, Institute of Labor Economics (IZA).
    15. Eric Schuss, 2020. "Do Ethnic Networks Ameliorate Education–Occupation Mismatch?," LABOUR, CEIS, vol. 34(4), pages 441-476, December.
    16. Fernández-Huertas Moraga, Jesús & Ferrer-i-Carbonell, Ada & Saiz, Albert, 2019. "Immigrant locations and native residential preferences: Emerging ghettos or new communities?," Journal of Urban Economics, Elsevier, vol. 112(C), pages 133-151.
    17. Tommaso Colussi, 2013. "Migrant Networks and Job Search Outcomes: Evidence from Displaced Workers," Working Papers 706, Queen Mary University of London, School of Economics and Finance.
    18. repec:dau:papers:123456789/13646 is not listed on IDEAS
    19. Marianna Battaglia & Lara Lebedinski, 2014. "The Curse of Low Aspirations: Remedial Education and Perceived Returns to Education of Roma People," Working Papers. Serie AD 2014-04, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    20. Bonin, Holger & Rinne, Ulf, 2017. "Machbarkeitsstudie zur Durchführung einer Evaluation der arbeitsmarktpolitischen Integrationsmaßnahmen für Flüchtlinge," IZA Research Reports 76, Institute of Labor Economics (IZA).
    21. 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 of Labor Economics (IZA).
    22. Christian Dustmann & Francesco Fasani & Biagio Speciale, 2017. "Illegal Migration and Consumption Behavior of Immigrant Households," Journal of the European Economic Association, European Economic Association, vol. 15(3), pages 654-691.
    23. Alessandro Innocenti & Francesca Lorini & Chiara Rapallini, 2014. "Ethnic Heterogeneity, Voting Partecipation and Local Economic Growth. The Case of Belgium," Working Papers - Economics wp2014_03.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
    24. Accetturo, Antonio & Manaresi, Francesco & Mocetti, Sauro & Olivieri, Elisabetta, 2014. "Don't stand so close to me: The urban impact of immigration," Regional Science and Urban Economics, Elsevier, vol. 45(C), pages 45-56.
    25. Riccardo Borgoni & Giacomo Degli Antoni & Marco Faillo & Alessandra Michelangeli, 2017. "Preferences for living in homogenous communities and cooperation: a new methodological approach combining the hedonic price model and a field experiment," Econometica Working Papers wp62, Econometica.

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    More about this item

    Keywords

    residential segregation; migration; hiring networks;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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