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Immigration and the Labor Market Outcomes of Natives in Developing Countries: A Case Study of South Africa

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  • Nzinga H. Broussard

Abstract

Using South African census data from 2001, 2007, and 2011, I examine the effect that immigration had on labor market outcomes of native-born black South Africans. Using instrumental variables to control for the potential endogenous location choices of immigrants to South Africa, the results show that immigrant inflows decreased the employment-to-population ratios and total annual income of black native-born South Africans. Additionally, results suggest a negative effect of immigrant inflows on the employment ratio and total annual income of black native-born South Africans employed in the formal sector. Results show that immigration caused an intersectoral employment shift. For black male South Africans, the composition of the employed labor force shifted to the formal sector, and for black female South Africans, the composition of the employed labor force shifted to the informal sector.

Suggested Citation

  • Nzinga H. Broussard, 2017. "Immigration and the Labor Market Outcomes of Natives in Developing Countries: A Case Study of South Africa," Economic Development and Cultural Change, University of Chicago Press, vol. 65(3), pages 389-424.
    • Handle: RePEc:ucp:ecdecc:doi:10.1086/690648
    DOI: 10.1086/690648
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    Cited by:

    1. Angelo Leogrande & Alberto Costantiello, 2023. "The Labor Force Participation Rate in the Context of ESG Models at World Level," Working Papers hal-04114330, HAL.
    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. Sharp, Matthew, 2021. "The labour market impacts of female internal migration: Evidence from the end of Apartheid," Regional Science and Urban Economics, Elsevier, vol. 91(C).
    4. Nedoncelle, Clément & Marchal, Léa & Aubry, Amandine & Héricourt, Jérôme, 2024. "Does immigration affect native wages? A meta-analysis," KCG Working Papers 31, Kiel Centre for Globalization (KCG).
    5. Celia P. Vera & Bruno Jiménez, 2022. "The Short-Term Labor Market Impact of Venezuelan Immigration in Peru," CEDLAS, Working Papers 0304, CEDLAS, Universidad Nacional de La Plata.
    6. Celia P. Vera & Bruno Jiménez, 2022. "Do immigrants take or create natives' jobs? Evidence of Venezuelan immigration in Peru," Working Papers 2022-18, Lima School of Economics.

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