South-South Migration and the Labor Market: Evidence from South Africa

Giovanni Facchini, Anna Maria Mayda and Mariapia Mendola

No 7362, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: Using census data for 1996, 2001 and 2007 we study the labor market effect of immigration to South Africa. The paper contributes to a small but growing literature on the impact of South-South migration by looking at one of the most attractive destinations for migrant workers in Sub-Saharan Africa. We exploit the variation – both at the district level and at the national one – in the share of foreign-born male workers across schooling and experience groups over time. At the district level, we estimate that increased immigration has a negative and significant effect on natives' employment rates – and that this effect is more negative for skilled and white South African native workers – but not on total income. These results are robust to using an instrumental variable estimation strategy. At the national level, we find that increased immigration has a negative and significant effect on natives' total income but not on employment rates. Our results are consistent with outflows of natives to other districts as a consequence of migration, as in Borjas (2006).

Keywords: South Africa; labor market effects; immigration (search for similar items in EconPapers)
JEL-codes: F22 J61 (search for similar items in EconPapers)
Pages: 51 pages
Date: 2013-04
New Economics Papers: this item is included in nep-afr and nep-mig
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12)

Forthcoming - published in: Journal of Economic Geography, 2018, 18 (4), 823-853.

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Related works:
Journal Article: South–South migration and the labor market: evidence from South Africa (2018)
Working Paper: South-South migration and the labor market: Evidence from South Africa (2013)
Working Paper: South-South migration and the labor market: Evidence from South Africa (2013)
Working Paper: South-South Migration and the Labor Market: Evidence from South Africa (2012)
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