Unauthorized Immigration Effects on Local Labor Markets

Daniel Wilson and Xiaoqing Zhou

FRBSF Economic Letter, 2026, vol. 2026, issue 05, 5

Abstract: The large increase and subsequent decline of unauthorized immigrant workers in recent years have raised questions about the impact of these changes on local labor markets across the United States. New analysis linking immigration data with employment data for specific areas suggests that the rapid rise in unauthorized immigrant worker flows increased local employment roughly one-for-one. Extending the analysis to the industry level further suggests that the slowdown of net immigration had a large negative impact on local employment, particularly for construction and manufacturing.

Keywords: immigration; labor markets; unauthorized immigration (search for similar items in EconPapers)
Date: 2026
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