Immigration, Wages, and Compositional Amenities

@article{Card2009ImmigrationWA,
  title={Immigration, Wages, and Compositional Amenities},
  author={David Card and Christian Dustmann and Ian Preston},
  journal={European Economics: Labor \& Social Conditions eJournal},
  year={2009}
}
Economists are often puzzled by the stronger public opposition to immigration than trade, since the two policies have similar effects on wages. Unlike trade, however, immigration can alter the composition of the local population, imposing potential externalities on natives. While previous studies have addressed fiscal spillover effects, a broader class of externalities arise because people value the 'compositional amenities' associated with the characteristics of their neighbors and co-workers… 

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