The impact of migration on earnings inequality
No 19-5, Working Papers from Federal Reserve Bank of Boston
This paper examines the impact of migration on earnings inequality using 1940?2015 data from the U.S. census and American Community Survey. Despite measurement challenges, I successfully replicate existing findings regarding national trends in earnings inequality and migration, and subsequently analyze regional and state patterns. Using 1940 birthplace information to instrument for migration, I find that recent immigration mildly increases the top decile earnings share, while recent in-migration and out-migration have no significant effects on such inequality. I estimate that immigration contributed 5.8 percent to the observed rise in U.S. earnings inequality from 1950 to 2015, primarily through a non-migrant channel.
Keywords: earnings inequality; migration (search for similar items in EconPapers)
JEL-codes: F22 D31 R23 (search for similar items in EconPapers)
Pages: 54 pages
Date: 2018-08-01, Revised 2018-08-01
New Economics Papers: this item is included in nep-int, nep-mig and nep-ure
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