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Labour Market Effects of Immigration: an Empirical Analysis Based on Italian Data

Author

Listed:
  • Alessandra Venturini

    ()

  • Claudia Villosio

Abstract

Gavosto, Venturini, Villosio (1999) found that the impact of immigrants on the wage rates of natives was positive. This result has led to the present paper which analyses the effect of immigrants on native employment. Two aspects of being unemployed are considered: i) displacement risk, the probability of moving from employment into unemployment; and ii) job-search effectiveness, the probability of moving from unemployment into employment within one year. The quarterly Labour Force Survey data (ISTAT) from 1993 to 1997 are used. The transition probabilities depend on two sets of independent variables at time t: the individual’s characteristics and the external conditions of the market. A probit model is applied for repeated-cross-sections on “specific” local areas in order to check for possible autocorrelation and endogeneity. The results show that in the North of Italy, where most immigrants are located, the share of immigrants has either no effect or has a complementary effect on the probability of finding a job in the case of workers looking for a new job; while in the case of people looking for a first job (young people) the effect was negative in 1993; while it was positive in the last years. A complementary effect prevails in the case of native transition from employment to unemployment. There is a negative effect only in the manufacturing sector in Northern Italy for 1996, and this is probably due to other factors, such as the increased use of temporary contracts in that area during that year.

Suggested Citation

  • Alessandra Venturini & Claudia Villosio, 2004. "Labour Market Effects of Immigration: an Empirical Analysis Based on Italian Data," CHILD Working Papers wp17_04, CHILD - Centre for Household, Income, Labour and Demographic economics - ITALY.
  • Handle: RePEc:wpc:wplist:wp17_04
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    File URL: http://www.child.carloalberto.org/images/wp/child17_2004.pdf
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    References listed on IDEAS

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    1. Rudolf Winter-Ebmer & Josef Zweimüller, 1999. "Do immigrants displace young native workers: The Austrian experience," Journal of Population Economics, Springer;European Society for Population Economics, vol. 12(2), pages 327-340.
    2. Black,Stanley W., 2008. "Europe's Economy Looks East," Cambridge Books, Cambridge University Press, number 9780521088237.
    3. Andrea Gavosto & Alessandra Venturini & Claudia Villosio, 1999. "Do Immigrants Compete with Natives?," LABOUR, CEIS, vol. 13(3), pages 603-621, September.
    4. Amemiya, Takeshi, 1979. "The Estimation of a Simultaneous-Equation Tobit Model," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 20(1), pages 169-181, February.
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    Citations

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    Cited by:

    1. Münz, Rainer & Straubhaar, Thomas & Vadean, Florin P. & Vadean, Nadia, 2007. "What are the migrants' contributions to employment and growth? A European approach," HWWI Policy Papers 3-3, Hamburg Institute of International Economics (HWWI).
    2. Barone, Guglielmo & Mocetti, Sauro, 2011. "With a little help from abroad: The effect of low-skilled immigration on the female labour supply," Labour Economics, Elsevier, vol. 18(5), pages 664-675, October.
    3. repec:ilo:ilowps:389584 is not listed on IDEAS
    4. Stefano STAFFOLANI & Enzo VALENTINI, 2009. "Does Immigration Raise Blue and White Collar Wages of Natives?," Working Papers 330, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    5. Gabriele Morettini & Andrea F. Presbitero & Massimo Tamberi, 2012. "Determinants of international migrations to Italian provinces," Economics Bulletin, AccessEcon, vol. 32(2), pages 1604-1617.
    6. Riccardo Faini & Steiner Strom & Alessandra Venturini & Claudia Villosio, 2009. "Are Foreign Migrants more Assimilated than Native Ones?," LABORatorio R. Revelli Working Papers Series 96, LABORatorio R. Revelli, Centre for Employment Studies.
    7. Giulia BETTIN & Alessia LO TURCO & Daniela MAGGIONI, 2011. "A firm level perspective on migration," Working Papers 360, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    8. repec:kap:iaecre:v:14:y:2008:i:3:p:291-302 is not listed on IDEAS
    9. S. Longhi & P. Nijkamp & J. Poot, 2010. "Joint impacts of immigration on wages and employment: review and meta-analysis," Journal of Geographical Systems, Springer, vol. 12(4), pages 355-387, December.
    10. Alessandra Venturini, 2012. "Methodological Aspects of Research on Flows Human Capital Flows: A survey," RSCAS Working Papers carim2012/01, European University Institute.
    11. Strom, Steinar & Venturini, Alessandra & Villosio, Claudia, 2013. "Wage Assimilation: Migrants versus Natives and Foreign Migrants versus Internal Migrants," Department of Economics and Statistics Cognetti de Martiis. Working Papers 201341, University of Turin.
    12. repec:ilo:ilowps:373136 is not listed on IDEAS
    13. Marina Murat & Sergio Paba, 2005. "I distretti industriali tra immigrazione e internazionalizzazione produttiva," Department of Economics 0517, University of Modena and Reggio E., Faculty of Economics "Marco Biagi".

    More about this item

    Keywords

    Migration; Competition; Employment; Unemployment;

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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