Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/71617 
Year of Publication: 
2013
Series/Report no.: 
IZA Discussion Papers No. 7220
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
In this paper, we explore employers' decisions regarding the employment of legal and illegal immigrants in the presence of endogenous adjustment cost, minimum wages and an enforcement budget. We show that increasing the employment of legal foreign workers will increase the number of illegal immigrants which will replace the employment of the local population and thus creating illegal migration.
Subjects: 
illegal immigration
foreign worker
minimum wages
JEL: 
J3
K42
Document Type: 
Working Paper

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