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Do minimum wages induce immigration?

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  • Corrado Giulietti

    (IZA, Germany)

Abstract

An increase in the minimum wage in immigrant destination countries raises the earnings that low-skilled migrants could expect to attain if they were to migrate. While some studies for the US indicate that a higher minimum wage induces immigration, contrasting evidence shows that immigrants are less likely to move into areas with higher or more frequent increases in the minimum wage. These different findings seem to reflect different relocation decisions by immigrants who have lived in the US for several years, who are more likely to move in response to higher minimum wages, and by new immigrants, who are less likely to move.

Suggested Citation

  • Corrado Giulietti, 2015. "Do minimum wages induce immigration?," IZA World of Labor, Institute of Labor Economics (IZA), pages 151-151, May.
    • Handle: RePEc:iza:izawol:journl:y:2015:n:151
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    References listed on IDEAS

    as
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    7. Cortes, Kalena E., 2004. "Wage Effects on Immigrants from an Increase in the Minimum Wage Rate: An Analysis by Immigrant Industry Concentration," IZA Discussion Papers 1064, Institute of Labor Economics (IZA).
    8. Corrado Giulietti, 2014. "Is the Minimum Wage a Pull Factor for Immigrants?," ILR Review, Cornell University, ILR School, vol. 67(3_suppl), pages 649-674, May.
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    minimum wage; immigration; low-educated workers;
    All these keywords.

    JEL classification:

    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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