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US labor market conditions and migration: a reassessment of Bahar (2025)

Francisco Rodriguez and Giancarlo Bravo

Papers from arXiv.org

Abstract: Bahar (2025) argues that there is a long-term cointegrating relationship between US job vacancies and southwest border crossings. We show that this conclusion is based on a misspecified Engle-Granger test applied to first differences. Once the Engle-Granger test is correctly applied to levels, evidence for a cointegrating relationship vanishes, invalidating the paper's approach to estimating short- and long-run elasticities. Bahar's approach is therefore uninformative about the relationship between US labor market conditions and migration.

Date: 2025-12
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