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The Relationship Between Immigration and Unemployment: The Case of France

Author

Listed:
  • Vincent Fromentin

    (Université Nancy 2 / CEREFIGE, Pôle Lorrain de Gestion, 13, rue Maréchal Ney, 54 000 Nancy, France)

Abstract

This paper examines the relationship between immigration, the labor market and economic development in France. Using a system of equations for unemployment, immigration, wage and gross domestic product, the estimation of a cointegration relationship shows there is no observed increase in aggregate unemployment due to immigration in the long run. The vector error correction model indicates that immigration influence negatively unemployment and past immigration has a smaller impact on increasing wages in the short run. Despite institutional differences, migration flows have weak (positive) effects on employment in the long run.

Suggested Citation

  • Vincent Fromentin, 2013. "The Relationship Between Immigration and Unemployment: The Case of France," Economic Analysis and Policy, Elsevier, vol. 43(1), pages 51-66, March.
    • Handle: RePEc:eee:ecanpo:v:43:y:2013:i:1:p:51-66
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    Citations

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    Cited by:

    1. Laila Touhami Morghem & Khawlah Ali Abdalla Spetan, 2020. "Determinants of International Migration: An Applied Study on Selected Arab Countries (1995-2017)," International Journal of Economics and Financial Issues, Econjournals, vol. 10(2), pages 6-19.
    2. Rümeysa ÇELİK & Irmak ARSLAN, 0. "Göç ve İşsizlik Arasındaki İlişki: Ampirik Bir Uygulama," Journal of Social Policy Conferences, Istanbul University, Faculty of Economics, vol. 0(74), pages 65-75.
    3. Alexandra M. Espinosa & Ignacio Díaz-Emparanza, 2023. "Assessing the Spanish immigration policy with frequency-wise causality in Hosoya’s sense," Empirical Economics, Springer, vol. 65(1), pages 111-147, July.
    4. Hai Hien Huynh & Duc Hong Vo, 2023. "The Effects of Migration on Unemployment: New Evidence from the Asian Countries," Sustainability, MDPI, vol. 15(14), pages 1-13, July.
    5. Vincent Fromentin & Olivier Damette & Benteng Zou, 2017. "The Global Economic Crisis and The Effect of Immigrant Workers on Native-born Employment in Europe," The World Economy, Wiley Blackwell, vol. 40(6), pages 1068-1088, June.
    6. T. Vinayagathasan, 2020. "The Role of Political Stability, Labor Market and Education on Migration: The Empirical Evidence from Sri Lanka," Business and Economic Research, Macrothink Institute, vol. 10(2), pages 372-391, June.
    7. Alexandra M. Espinosa & Ignacio Díaz-Emparanza, 2021. "The Long-term Relationship Between International Labour Migration and Unemployment in Spain," Journal of International Migration and Integration, Springer, vol. 22(1), pages 145-166, March.
    8. Giuseppe Pernagallo & Benedetto Torrisi, 2023. "Human capital mobility patterns in the European Union and the financial crisis," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(2), pages 1791-1820, April.
    9. Khosla, Pooja, 2018. "Wait time for permanent residency and the retention of immigrant doctoral recipients in the U.S," Economic Analysis and Policy, Elsevier, vol. 57(C), pages 33-43.
    10. Enrique Camacho-Beltrán, 2019. "Legitimate Exclusion of Would-Be Immigrants: A View from Global Ethics and the Ethics of International Relations," Social Sciences, MDPI, vol. 8(8), pages 1-19, August.
    11. Gancho Ganchev & Mariya Paskaleva, 2019. "The Relationship between Workforce Migration and the Basic Macroeconomic Variables of the Countries from Central Eastern Europe with a Focus on Bulgaria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 4, pages 45-69.
    12. Latif, Ehsan, 2015. "The relationship between immigration and unemployment: Panel data evidence from Canada," Economic Modelling, Elsevier, vol. 50(C), pages 162-167.
    13. Gindra Kasnauskiene & Loreta Vebraite, 2014. "The Impact of Migration on Lithuanian Economy in an Ageing Society Context," Proceedings of International Academic Conferences 0802257, International Institute of Social and Economic Sciences.

    More about this item

    Keywords

    international migration; unemployment; wages; economic development; cointegration;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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