Labor market effects of immigration: Evidence from neighborhood data

Thomas K. Bauer, Regina Flake, Mathias G. Sinning*

*Corresponding author for this work

    Research output: Contribution to journalArticlepeer-review

    6 Citations (Scopus)

    Abstract

    This paper combines individual-level data from the German Socio-Economic Panel (SOEP) with economic and demographic postcode-level data from administrative records to analyze the effects of immigration on wages and unemployment probabilities of high- and low-skilled natives. Employing an instrumental variable strategy and utilizing the variation in the population share of foreigners across regions and time, we find no support for the hypothesis of adverse labor market effects of immigration. Instead, we find a positive effect of immigration on the employment probabilities of high-skilled natives.

    Original languageEnglish
    Pages (from-to)370-385
    Number of pages16
    JournalReview of International Economics
    Volume21
    Issue number2
    DOIs
    Publication statusPublished - May 2013

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