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Immigrant Workers and Farm Performance: Evidence from Matched Employer-Employee Data

  • Malchow-Møller, Nikolaj

    ()

    (University of Southern Denmark)

  • Munch, Jakob R.

    ()

    (University of Copenhagen)

  • Seidelin, Claus Aastrup

    ()

    (University of Southern Denmark)

  • Skaksen, Jan Rose

    ()

    (Copenhagen Business School)

Many developed countries have recently experienced a significant inflow of immigrants in the agricultural sector. At the same time, the sector is still in a process of structural transformation resulting in fewer but bigger and presumably more efficient farms. In this paper, we exploit detailed matched employer-employee data for the entire population of Danish farms in the period 1980-2008 to analyze the micro-level relationship between these two developments. We find that farms that employ immigrants tend to be both larger and at least as productive as other farms. Furthermore, an increased use of immigrants is found to be associated with an improvement in farm performance as measured by job creation and revenue, and this seems at least in part to reflect a causal effect of the immigrants.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 7133.

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Length: 46 pages
Date of creation: Jan 2013
Date of revision:
Publication status: published in: American Journal of Agricultural Economics, 2013, 95 (4), 819-841
Handle: RePEc:iza:izadps:dp7133
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  2. George J. Borjas, 2003. "The Labor Demand Curve is Downward Sloping: Reexamining the Impact of Immigration on the Labor Market," NBER Working Papers 9755, National Bureau of Economic Research, Inc.
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  8. David Card, 1989. "The Impact of the Mariel Boatlift on the Miami Labor Market," Working Papers 633, Princeton University, Department of Economics, Industrial Relations Section..
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  15. Longhi, Simonetta & Nijkamp, Peter & Poot, Jacques, 2006. "The Impact of Immigration on the Employment of Natives in Regional Labour Markets: A Meta-Analysis," IZA Discussion Papers 2044, Institute for the Study of Labor (IZA).
  16. Malchow-Møller, Nikolaj & Munch, Jakob R. & Skaksen, Jan Rose, 2007. "Do Immigrants Affect Firm-Specific Wages?," IZA Discussion Papers 3264, Institute for the Study of Labor (IZA).
  17. Alessandra Venturini, 1999. "Do immigrants working illegally reduce the natives' legal employment? Evidence from Italy," Journal of Population Economics, Springer, vol. 12(1), pages 135-154.
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  21. Martin, Philip L. & Taylor, J. Edward, 2003. "Farm Employment, Immigration, and Poverty: A Structural Analysis," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 28(02), August.
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