EconPapers    
Economics at your fingertips  
 

Remittances and the Wage Impact of Immigration

William Olney

Journal of Human Resources, 2015, vol. 50, issue 3, 694-727

Abstract: This paper examines how the outflow of remittances affect the wages of native workers. The model shows that the wage impact of immigration depends on the competing effects of an increase in labor market competition and an increase in the consumer base. Immigrant remittances provide a unique way of isolating this latter effect because they reduce the consumer base but not the workforce. The predictions of the model are tested using an unusually rich German data set that has detailed information on remittances and wages. As expected, the results indicate that a 1 percent increase in remittances depress the wages of native workers by 0.06 percent. Furthermore, remittances predominantly affect workers in nontraded industries that are more reliant on domestic consumption.

Date: 2015
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed

Downloads: (external link)
http://jhr.uwpress.org/cgi/reprint/50/3/694
A subscripton is required to access pdf files. Pay per article is available.

Related works:
Working Paper: Remittances and the Wage Impact of Immigration (2014) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:uwp:jhriss:v:50:y:2015:i:3:p:694-727

Access Statistics for this article

More articles in Journal of Human Resources from University of Wisconsin Press
Bibliographic data for series maintained by ().

 
Page updated 2020-09-05
Handle: RePEc:uwp:jhriss:v:50:y:2015:i:3:p:694-727