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DACA's Uncertain Path: How Policy Threats Reshape Economic and Social Gains for Recipients

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  • Amuedo-Dorantes, Catalina
  • Wang, Chunbei

Abstract

Since 2012, DACA has provided deportation relief and work authorization to immigrants brought to the U.S. as children. This study examines how legal and political uncertainty, triggered by the Trump administration's 2017 announcement to end the program, affected recipients' economic and social outcomes. Using difference-in-differences and event study methods, we find that gains in education, health, and geographic mobility largely persisted, while employment and income benefits eroded, particularly in nonsanctuary and high-enforcement states. However, strong local DACA networks helped buffer these losses. The results underscore how policy uncertainty can erode some gains while others persist in more supportive environments.

Suggested Citation

  • Amuedo-Dorantes, Catalina & Wang, Chunbei, 2025. "DACA's Uncertain Path: How Policy Threats Reshape Economic and Social Gains for Recipients," GLO Discussion Paper Series 1617, Global Labor Organization (GLO).
  • Handle: RePEc:zbw:glodps:1617
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    References listed on IDEAS

    as
    1. Amy Hsin & Francesc Ortega, 2018. "The Effects of Deferred Action for Childhood Arrivals on the Educational Outcomes of Undocumented Students," Demography, Springer;Population Association of America (PAA), vol. 55(4), pages 1487-1506, August.
    2. Borjas, George J., 2017. "The labor supply of undocumented immigrants," Labour Economics, Elsevier, vol. 46(C), pages 1-13.
    3. Giuntella, Osea & Lonsky, Jakub & Mazzonna, Fabrizio & Stella, Luca, 2021. "Immigration policy and immigrants’ sleep. Evidence from DACA," Journal of Economic Behavior & Organization, Elsevier, vol. 182(C), pages 1-12.
    4. Wang, Jia & Winters, John V. & Yuan, Weici, 2022. "Can legal status help unauthorized immigrants achieve the American dream? Evidence from the Deferred Action for Childhood Arrivals program," Regional Science and Urban Economics, Elsevier, vol. 95(C).
    5. David Card & Carlos Dobkin & Nicole Maestas, 2008. "The Impact of Nearly Universal Insurance Coverage on Health Care Utilization: Evidence from Medicare," American Economic Review, American Economic Association, vol. 98(5), pages 2242-2258, December.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    DACA; undocumented immigrants; Trump; employment; health; education;
    All these keywords.

    JEL classification:

    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

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