 Dealing with Undocumented Immigrants: The Welfare Effects of Amnesties and DeportationsJODE - Journal of Demographic Economics, 2017, vol. 83, issue 4, 445-492 Abstract: The effects on agents’ welfare of two different policies dealing with undocumented immigrants, amnesties and deportations, are assessed. I develop a two-period overlapping generations model which accounts for the ex-ante production by undocumented workers and their impact on the government budget. Additional channels, such as the discrimination on the labor market and a different productivity of regularized workers are discussed. The impact of a migration policy depends on the wage effects of the legalized/deported workers and their net fiscal contribution. The calibration of the model for the United States in 2014 allows to disentangle the channels at work. Overall, the impact of the two policies on natives’ welfare is limited (between −0.1% and +0.15%). Retired agents benefit from an amnesty and are harmed by a deportation. The effect on workers is ambiguous and depends on the wage and fiscal effects in addition to the change in the returns on savings. Keywords: Undocumented immigration; Amnesty; Regularization; Deportation; Discrimination (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ctl:louvde:v:83:y:2017:i:4:p:445-492 Access Statistics for this article More articles in JODE - Journal of Demographic Economics from Cambridge University Press Place Montesquieu 3, 1348 Louvain-la-Neuve (Belgium). Contact information at EDIRC. |
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