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Migration, the Quality of the Labour Force and Economic Inequality

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Author Info
Kahanec, Martin
Zimmermann, Klaus F

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Abstract

Mobility of workers involves flows of labour, human capital and other production factors and thus contributes to a more efficient allocation of resources. Besides these effects on allocative efficiency, migrant flows affect relative wages and also change the international and national distribution of skills and thereby equality in the receiving society. This paper suggests that skilled immigration promotes economic equality in advanced economies under standard conditions. The context is theoretically explained in a core model and empirically documented using unique data from the WIID database and OECD.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 6899.

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Date of creation: Jul 2008
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Handle: RePEc:cpr:ceprdp:6899

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Related research
Keywords: ethnicity Gini-coefficient human capital income distribution Inequality migration minority skill allocation

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Find related papers by JEL classification:
D33 - Microeconomics - - Distribution - - - Factor Income Distribution
E25 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution
F22 - International Economics - - International Factor Movements and International Business - - - International Migration
J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities and Races; Non-labor Discrimination
J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Martin Kahanec, 2007. "Ethnic Competition and Specialization," IZA Discussion Papers 3167, Institute for the Study of Labor (IZA). [Downloadable!]
  2. William J. Carrington & Pedro Lima, 1996. "The impact of 1970s repatriates from Africa on the Portuguese labor market," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 49(2), pages 330-347, January.
  3. Ather H. Akbari & Don J. Devoretz, 1992. "The Substitutability of Foreign-Born Labour in Canadian-Production: Circa 1980," Canadian Journal of Economics, Canadian Economics Association, vol. 25(3), pages 604-14, August. [Downloadable!] (restricted)
  4. Barry R. Chiswick & Yinon Cohen & Tzippi Zach, 1997. "The labor market status of immigrants: Effects of the unemployment rate at arrival and duration of residence," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 50(2), pages 289-303, January.
  5. George J. Borjas, 1986. "The Self-Employment Experience of Immigrants," NBER Working Papers 1942, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  6. Kristin F. Butcher & John DiNardo, 2002. "The Immigrant and native-born wage distributions: Evidence from United States censuses," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 56(1), pages 97-121, October.
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  7. Rachel M. Friedberg, 2001. "The Impact Of Mass Migration On The Israeli Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 116(4), pages 1373-1408, November. [Downloadable!] (restricted)
  8. Borjas, George J, 1985. "Assimilation, Changes in Cohort Quality, and the Earnings of Immigrants," Journal of Labor Economics, University of Chicago Press, vol. 3(4), pages 463-89, October. [Downloadable!] (restricted)
  9. Catalina Amuedo-Dorantes & Sara de la Rica, 2007. "Labour Market Assimilation of Recent Immigrants in Spain," British Journal of Industrial Relations, Blackwell Publishers Ltd/London School of Economics, vol. 45(2), pages 257-284, 06. [Downloadable!] (restricted)
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  10. Chapman, Bruce & Cobb-Clark, Deborah, 1999. "A Comparative Static Model of the Relationship between Immigration and the Short-Run Job Prospects of Unemployed Residents," The Economic Record, The Economic Society of Australia, vol. 75(231), pages 358-68, December.
  11. Amelie Constant & Klaus F. Zimmermann, 2007. "Measuring Ethnic Identity and Its Impact on Economic Behavior," SOEPpapers 47, DIW Berlin, The German Socio-Economic Panel (SOEP). [Downloadable!]
    Other versions:
  12. Pia M. Orrenius & Madeline Zavodny, 2003. "Does immigration affect wages? A look at occupation-level evidence," Working Papers 03-02, Federal Reserve Bank of Dallas. [Downloadable!]
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  13. Christian Dustmann & Francesca Fabbri & Ian Preston, 2005. "The Impact of Immigration on the UK Labour Market," CReAM Discussion Paper Series 0501, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
  14. Paul W. Miller & Barry R. Chiswick, 2002. "Immigrant earnings: Language skills, linguistic concentrations and the business cycle," Journal of Population Economics, Springer, vol. 15(1), pages 31-57. [Downloadable!] (restricted)
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  15. Grossman, Jean Baldwin, 1982. "The Substitutability of Natives and Immigrants in Production," The Review of Economics and Statistics, MIT Press, vol. 64(4), pages 596-603, November. [Downloadable!] (restricted)
  16. Addison, Thomas & Worswick, Christopher, 2002. "The Impact of Immigration on the Earnings of Natives: Evidence from Australian Micro Data," The Economic Record, The Economic Society of Australia, vol. 78(240), pages 68-78, March. [Downloadable!] (restricted)
  17. Amelie Constant & Douglas S. Massey, 2003. "Self-selection, earnings, and out-migration: A longitudinal study of immigrants to Germany," Journal of Population Economics, Springer, vol. 16(4), pages 631-653, November. [Downloadable!] (restricted)
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  18. Zimmermann, Klaus F, 1993. "Native Wage Impacts of Foreign Labour: A Random Effects Panel Analysis," CEPR Discussion Papers 851, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  19. Jennifer Hunt, 1992. "The impact of the 1962 repatriates from Algeria on the French labor market," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 45(3), pages 556-572, April.
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Kahanec, Martin & Zimmermann, Klaus F., 2008. "International Migration, Ethnicity and Economic Inequality," IZA Discussion Papers 3450, Institute for the Study of Labor (IZA). [Downloadable!]
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