Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010

The debate over the wage effects of immigration for native workers is an old one. One side of the debate claims that immigration has little if any negative impact on wages among natives, whereas others suggest that immigration has large, negative effects on native wages. On the latter side of the de...

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Autores principales: de Brauw, Alan, Russell, Joseph R. D
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2014
Materias:
Acceso en línea:https://hdl.handle.net/10568/150115
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author de Brauw, Alan
Russell, Joseph R. D
author_browse Russell, Joseph R. D
de Brauw, Alan
author_facet de Brauw, Alan
Russell, Joseph R. D
author_sort de Brauw, Alan
collection Repository of Agricultural Research Outputs (CGSpace)
description The debate over the wage effects of immigration for native workers is an old one. One side of the debate claims that immigration has little if any negative impact on wages among natives, whereas others suggest that immigration has large, negative effects on native wages. On the latter side of the debate, many point to the work of Borjas (2003), who takes a national view of the US economy and estimates a wage elasticity of -0.4 with respect to immigration. In this paper, we replicate and update Borjas with the 2010 US census data, and use the method to study an even larger, concurrent labor supply shock, namely the entry of women into the labor force. We both find a much lower wage elasticity than Borjas to immigration (-0.2) and estimate a positive, statistically significant relationship between men’s wages and women’s entry into education-experience cells when wages are annualized. We take this evidence to suggest that the Borjas model is misspecified as it inadequately specifies substitution between immigrants and natives, and inadequately controls for structural change in the US economy.
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spelling CGSpace1501152025-11-06T05:40:44Z Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010 de Brauw, Alan Russell, Joseph R. D immigration gender labour market macroeconomics migration workforce remuneration women The debate over the wage effects of immigration for native workers is an old one. One side of the debate claims that immigration has little if any negative impact on wages among natives, whereas others suggest that immigration has large, negative effects on native wages. On the latter side of the debate, many point to the work of Borjas (2003), who takes a national view of the US economy and estimates a wage elasticity of -0.4 with respect to immigration. In this paper, we replicate and update Borjas with the 2010 US census data, and use the method to study an even larger, concurrent labor supply shock, namely the entry of women into the labor force. We both find a much lower wage elasticity than Borjas to immigration (-0.2) and estimate a positive, statistically significant relationship between men’s wages and women’s entry into education-experience cells when wages are annualized. We take this evidence to suggest that the Borjas model is misspecified as it inadequately specifies substitution between immigrants and natives, and inadequately controls for structural change in the US economy. 2014 2024-08-01T02:50:44Z 2024-08-01T02:50:44Z Working Paper https://hdl.handle.net/10568/150115 en https://hdl.handle.net/10568/151432 https://hdl.handle.net/10568/149446 https://hdl.handle.net/10568/150363 Open Access application/pdf International Food Policy Research Institute de Brauw, Alan and Russell, Joseph R. D. 2014. Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010. IFPRI Discussion Paper 1402. Washington, DC: International Food Policy Research Institute (IFPRI). https://hdl.handle.net/10568/150115
spellingShingle immigration
gender
labour market
macroeconomics
migration
workforce
remuneration
women
de Brauw, Alan
Russell, Joseph R. D
Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010
title Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010
title_full Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010
title_fullStr Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010
title_full_unstemmed Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010
title_short Revisiting the labor demand curve: The wage effects of immigration and women’s entry into the US labor force, 1960–2010
title_sort revisiting the labor demand curve the wage effects of immigration and women s entry into the us labor force 1960 2010
topic immigration
gender
labour market
macroeconomics
migration
workforce
remuneration
women
url https://hdl.handle.net/10568/150115
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