EconStor >
University of California (UC) >
UC Davis, Department of Economics >
Working Papers, Department of Economics, UC Davis >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/31337
  

Full metadata record

DC FieldValueLanguage
dc.contributor.authorPeri, Giovannien_US
dc.contributor.authorOttaviano, Gianmarco I. P.en_US
dc.date.accessioned2006-01-04en_US
dc.date.accessioned2010-05-14T11:04:06Z-
dc.date.available2010-05-14T11:04:06Z-
dc.date.issued2005en_US
dc.identifier.urihttp://hdl.handle.net/10419/31337-
dc.description.abstractRecent influential empirical work has emphasized the negative impact immigrants have on the wages of U.S.-born workers, arguing that immigration harms less educated American workers in particular and all U.S.-born workers in general. Because U.S. and foreign born workers belong to different skill groups that are imperfectly substitutable, one needs to articulate a production function that aggregates different types of labor (and accounts for complementarity and substitution effects) in order to calculate the various effects of immigrant labor on U.S.-born labor. We introduce such a production function, making the crucial assumption that U.S. and foreign-born workers with similar education and experience levels may nevertheless be imperfectly substitutable, and allowing for endogenous capital accumulation. This function successfully accounts for the negative impact of the relative skill levels of immigrants on the relative wages of U.S. workers. However, contrary to the findings of previous literature, overall immigration generates a large positive effect on the average wages of U.S.-born workers. We show evidence of this positive effect by estimating the impact of immigration on both average wages and housing values across U.S. metropolitan areas (1970-2000). We also reproduce this positive effect by simulating the behavior of average wages and housing prices in an open city-economy, with optimizing U.S.-born agents who respond to an inflow of foreign-born workers of the size and composition comparable to the immigration of the 1990s.en_US
dc.language.isoengen_US
dc.publisherDep. of Economics, Univ. of California Davis, Calif.en_US
dc.relation.ispartofseriesWorking papers // University of California, Department of Economics 05,8en_US
dc.subject.jelF22en_US
dc.subject.jelJ31en_US
dc.subject.jelJ61en_US
dc.subject.jelR13en_US
dc.subject.ddc330en_US
dc.titleRethinking the gains from immigration: theory and evidence from the USen_US
dc.typeWorking Paperen_US
dc.identifier.ppn505102358en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
Appears in Collections:Working Papers, Department of Economics, UC Davis

Files in This Item:
File Description SizeFormat
505102358.pdf478.38 kBAdobe PDF
No. of Downloads: Counter Stats
Show simple item record
Download bibliographical data as: BibTeX

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.