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Immigration Enforcement and the Hiring of Low-Skilled Labor

Catalina Amuedo-Dorantes, Esther Arenas-Arroyo and Bernhard Schmidpeter
Authors registered in the RePEc Author Service: Esther Arenas-Arroyo ()

AEA Papers and Proceedings, 2021, vol. 111, 593-97

Abstract: We examine how firms adjust their labor demand to immigration policy changes resulting from intensified interior immigration enforcement. Using the temporal and geographic variation in the adoption of such policies as a source of identification, we find that firms boost their demand for low-skilled foreign-born labor under the H-2B visa program as enforcement intensifies. Furthermore, firms' increased demand for guest workers is inversely related to natives' employment in occupations where most H-2B workers are hired; however, it does not seem to alter natives' wages or work hours, nor does it seem to redistribute native labor away from those occupations.

JEL-codes: F22 J15 J24 J61 J68 M51 (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1257/pandp.20211115

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