Emigration and Wages: The EU Enlargement Experiment

Benjamin Elsner

No 2011.76, Working Papers from Fondazione Eni Enrico Mattei

Abstract: This paper studies the impact of a large emigration wave on real wages in the source country. Following EU enlargement in 2004, a large share of the workforce of the Central and Eastern Europe emigrated to Western Europe. Using data from Lithuania for the calibration of a factor demand model I show that emigration had a significant short-run impact on real wages in the source country. In particular, emigration led to a change in the wage distribution between young and old workers. The wages of young workers increased by 6%, whereas the wages of old workers decreased by around 1%. On the contrary, I find no effect on the wage distribution between workers of different education levels.

Keywords: Emigration; EU Enlargement; European Integration; Wage Distribution (search for similar items in EconPapers)
JEL-codes: F22 J31 O15 R23 (search for similar items in EconPapers)
Date: 2011-11
New Economics Papers: this item is included in nep-eec, nep-eur, nep-int, nep-lab and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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Related works:
Journal Article: Emigration and wages: The EU enlargement experiment (2013)
Working Paper: Emigration and Wages: The EU Enlargement Experiment (2011)
Working Paper: Emigration and Wages: The EU Enlargement Experiment (2011)
Working Paper: Emigration and Wages: The EU Enlargement Experiment (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:fem:femwpa:2011.76

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