Immigration, Amnesties and the Shadow Economy

Emanuele Bracco and Luisanna Onnis

No 418, Carlo Alberto Notebooks from Collegio Carlo Alberto

Abstract: This paper explores the link between the shadow economy and immigration. We per- form an empirical analysis on a newly compiled dataset of Italian immigration and shadow economy estimates for the years 1995-2006, also exploiting the discontinuity created by the 2002 Italian immigration reform, which granted legal status to almost 700,000 illegal immigrants. Our data comprise local aggregate statistical information on the labour market and the economy, and a repeated cross section of households sur- veyed by the Bank of Italy. We find a robust positive relationship between the presence of immigrants and the shadow economy. This link is substantially weakened by the 2002 amnesty.

Keywords: Shadow Economy; Immigration; Immigration Policies; Amnesties (search for similar items in EconPapers)
JEL-codes: H26 J61 K37 (search for similar items in EconPapers)
Pages: 32 pages
Date: 2015
New Economics Papers: this item is included in nep-eur, nep-iue and nep-mig
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Related works:
Journal Article: Immigration, amnesties, and the shadow economy (2022)
Working Paper: Immigration, amnesties and the shadow economy (2016)
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Persistent link: https://EconPapers.repec.org/RePEc:cca:wpaper:418

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