Illegal immigration in a heterogeneous labor market

  title={Illegal immigration in a heterogeneous labor market},
  author={Theodore Palivos and Chong Kee Yip},
  journal={Journal of Economics},
This paper examines the effects of illegal immigration in a neoclassical growth model with two groups of workers, skilled and unskilled. We show that although illegal immigration is a boon to a country as a whole, there are distributional effects, whose sign is in general ambiguous. This is because all sources of income of both groups are affected and some of these changes tend to move income in opposite directions. Nevertheless, calibration exercises show that the wealth distribution is likely… 

Illegal Immigration, Factor Substitution and Economic Growth

This paper develops a growth model with illegal immigration in which there exist two types of domestic labor, skilled and unskilled. These two types enter the production via a CES aggregator. In a

Chapter 17 Illegal Immigration, Factor Substitution, and Economic Growth

This chapter develops a neoclassical growth model of illegal immigration with imperfect substitutability between native and immigrant workers in production. We investigate analytically and/or

A Search‐Equilibrium Approach to the Effects of Immigration on Labor Market Outcomes

We analyze the impact of the skill-biased immigration inux that took place during the years 2000-2009 in the United States, within a search and matching model that allows for skill heterogeneity,

“Give me your Tired, your Poor,” so I can Prosper: Immigration in Search Equilibrium

We analyze the impact of immigration on the host country within a search and matching model that allows for skill heterogeneity, endogenous skill acquisition, differential search cost between


This paper presents a Ramsey-like dynamic small open economy with endogenous labor migration. In the model, the domestic economy is free to borrow or lend as much as it wants at the given world

Unauthorized Immigration Regulation and Labor Productivity: Evidence from Establishment-Level Data

We examine the impact of undocumented immigrants on labor productivity at the establishment level by employing the 2007 Legal Arizona Worker Act (LAWA), which prohibits businesses from knowingly or

Indeterminacy in a dynamic small open economy with international migration

This paper presents a dynamic small open economy version of the standard neoclassical exogenous growth model with international migration. It considers both the case of perfect world capital markets


This paper analyzes the effects of an unanticipated increase in immigration in a macroeconomic model with search and matching frictions. It shows how an immigration shock can lead to a temporary

Migration and Growth in a Schumpeterian Growth Model with Creative Destruction

: This paper incorporates endogenous migration into a second-generation Schumpeterian growth model to study how migration, innovation and growth interact one another. I (cid:133)nd that migration



Welfare effects of illegal immigration

This paper analyzes the welfare effect of illegal immigration on the host country within a dynamic general equilibrium framework and shows that it is positive for two reasons. First, immigrants are

Immigration and Skill Formation in Unionized Labor Markets

Illegal aliens, unemployment and immigration policy.

  • S. Djajić
  • Economics
    Journal of development economics
  • 1987

The welfare effects of illegal immigration.

International Immigration and Economic Welfare in an Efficiency Wage Model: The Co-Existence Case of Both Legal and Illegal Foreign Workers

In the developed countries some native workers are unemployed while there exist illegal unskilled (legal skilled) foreign workers who are complementary to (substitutable for) natives and their wages

Labor market effects of immigration in the United States and Europe

It is found that in both United States and European production, education, unskilled labor and experience are complementary inputs.

Dynamics of immigration control

  • S. Djajić
  • Economics
    Journal of population economics
  • 1999
It is argued that efforts to control illegal immigration in sectors where they traditionally find employment may trigger the formation of networks supporting clandestine foreign workers in new locations and occupations where the probability of detection is relatively lower.