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A spatial approach to the impact of immigration on wages: evidence from Spain

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  • María Gutiérrez-Portilla
  • José Villaverde
  • Adolfo Maza
  • María Hierro

Abstract

On the basis of a spatial wage-curve equation, this paper analyses the effect of immigration on average wages across Spanish provinces (NUTS-3) over the period 2004–15. To do so, a spatial panel Durbin model is estimated. The results reveal that there exists a small negative effect, which is mainly determined by the presence of spillovers. Moreover, they reveal that the average wage of a particular province depends positively on its productivity level and the share of the manufacturing industry, and negatively on its rate of unemployment and the share of the service sector.

Suggested Citation

  • María Gutiérrez-Portilla & José Villaverde & Adolfo Maza & María Hierro, 2020. "A spatial approach to the impact of immigration on wages: evidence from Spain," Regional Studies, Taylor & Francis Journals, vol. 54(4), pages 505-514, April.
  • Handle: RePEc:taf:regstd:v:54:y:2020:i:4:p:505-514
    DOI: 10.1080/00343404.2018.1424994
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    Cited by:

    1. Verena Löffler, 2021. "Questioning the feasibility and justice of basic income accounting for migration," Politics, Philosophy & Economics, , vol. 20(3), pages 273-314, August.

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