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Immigration reform scenarios for U.S. agriculture

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  • Dixon, Peter
  • Rimmer, Maureen

Abstract

The general equilibrium method adopted here reveals several effects of agriculture-focused immigration policies that would not have emerged in partial equilibrium analysis applied to agriculture. Our general equilibrium model includes specifications of: inter-sectoral labor flows; the role of vacancies in determining occupational choices; and macroeconomic relationships. This enables us to show that agricultural guest-worker and legalization programs are likely to: have similar effects on the agricultural sector; cause a gradual welfare-enhancing transformation of the occupational mix of incumbent employment away from agriculture; have small (possibly negative) effects on farm income; and have positive effects on aggregate capital, employment and GDP.

Suggested Citation

  • Dixon, Peter & Rimmer, Maureen, 2017. "Immigration reform scenarios for U.S. agriculture," Conference papers 332901, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    • Handle: RePEc:ags:pugtwp:332901
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    File URL: https://ageconsearch.umn.edu/record/332901/files/8415.pdf
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    References listed on IDEAS

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    1. Antonio Spilimbergo & Gordon H. Hanson, 1999. "Illegal Immigration, Border Enforcement, and Relative Wages: Evidence from Apprehensions at the U.S.-Mexico Border," American Economic Review, American Economic Association, vol. 89(5), pages 1337-1357, December.
    2. Gordon H. Hanson & Antonio Spilimbergo, 2001. "Political economy, sectoral shocks, and border enforcement," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 34(3), pages 612-638, August.
    3. David Card, 2005. "Is the New Immigration Really so Bad?," Economic Journal, Royal Economic Society, vol. 115(507), pages 300-323, November.
    4. Hoppe, Robert A. & MacDonald, James M. & Korb, Penelope J., 2010. "Small Farms in the United States: Persistence Under Pressure," Economic Information Bulletin 58300, United States Department of Agriculture, Economic Research Service.
    5. Steven Zahniser & Tom Hertz & Peter Dixon & Maureen Rimmer, 2012. "Immigration Policy and its Possible Effects on U.S. Agriculture and the Market for Hired Farm Labor: A Simulation Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(2), pages 477-482.
    6. George J. Borjas, 2021. "The Labor Demand Curve Is Downward Sloping: Reexamining The Impact Of Immigration On The Labor Market," World Scientific Book Chapters, in: Foundational Essays in Immigration Economics, chapter 9, pages 235-274, World Scientific Publishing Co. Pte. Ltd..
    7. Peter B. Dixon & Martin Johnson & Maureen T. Rimmer, 2011. "Economy‐Wide Effects Of Reducing Illegal Immigrants In U.S. Employment," Contemporary Economic Policy, Western Economic Association International, vol. 29(1), pages 14-30, January.
    8. George J. Borjas & Jeffrey Grogger & Gordon H. Hanson, 2010. "Immigration and the Economic Status of African‐American Men," Economica, London School of Economics and Political Science, vol. 77(306), pages 255-282, April.
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