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The Impact of Syrian Refugees on the Labor Market in Neighboring Countries: Empirical Evidence from Jordan

Ali Fakih () and May Ibrahim
Additional contact information
May Ibrahim: World Bank

No 9667, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper analyzes time-sensitive data on a humanitarian crisis in the Middle East. It aims to assess the impact of the steep influx of Syrian refugees into Jordan on the country's labor market since the onset of the conflict in Syria (March 2011). As of August 2014, nearly 3 million registered Syrians have sought refuge in neighboring countries (Lebanon, Jordan, Iraq, and Turkey), according to the United Nations High Commissioner for Refugees (UNHCR). Jordan and Lebanon are hosting the majority of them. This paper utilizes data regarding unemployment rates, employment rates, labor force participation, the number of refugees, and economic activity at the level of governorates. The Vector Autoregressive (VAR) methodology is used to examine time series data from the most affected governorates in Jordan. The empirical results of Granger causality tests and impulse response functions show that there is no relationship between the influx of Syrian refugees and the Jordanian labor market. Our results are verified through a set of robustness checks.

Keywords: forced refugees; host country; labor market; VAR model (search for similar items in EconPapers)
JEL-codes: J61 H56 N45 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2016-01
New Economics Papers: this item is included in nep-ara, nep-cwa, nep-lab and nep-mig
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Published in: Defence and Peace Economics, 2016, 27 (1), 64-86

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Journal Article: The impact of Syrian refugees on the labor market in neighboring countries: empirical evidence from Jordan (2016) Downloads
Working Paper: The Impact of Syrian Refugees on the Labor Market in Neighboring Countries: Empirical Evidence from Jordan (2016) Downloads
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