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The Effect of Internal Migration on Local Labor Markets: American Cities During the Great Depression

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  • Leah Platt Boustan
  • Price V. Fishback
  • Shawn E. Kantor

Abstract

During the Great Depression, as today, migrants were accused of taking jobs and crowding relief rolls. At the time, protest concerned internal migrants rather than the foreign born. We investigate the effect of net migration on local labor markets, instrumenting for migrant flows to a destination with extreme weather events and variation in New Deal programs in typical sending areas. Migration had little effect on the hourly earnings of existing residents. Instead, migration prompted some residents to move away and others to lose weeks of work and/or access to relief jobs. Given the period's high unemployment, these lost work opportunities were costly to existing residents.

Suggested Citation

  • Leah Platt Boustan & Price V. Fishback & Shawn E. Kantor, 2007. "The Effect of Internal Migration on Local Labor Markets: American Cities During the Great Depression," NBER Working Papers 13276, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:13276
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    More about this item

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • N32 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - U.S.; Canada: 1913-
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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