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The Analytics of the Wage Effect of Immigration

George Borjas

No 14796, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: The theory of factor demand has important implications for the study of the impact of immigration on wages. This paper derives the theoretical implications in the context of a general equilibrium model where the wage impact depends on the elasticity of product demand, the rate at which the consumer base expands as immigrants enter the receiving country, the elasticity of supply of capital, and the elasticity of substitution among inputs of production. The constraints imposed by the theory can be used to check the plausibility of the many contradictory claims that appear throughout the immigration literature.

JEL-codes: J23 J31 J61 (search for similar items in EconPapers)
Date: 2009-03
New Economics Papers: this item is included in nep-lab, nep-ltv and nep-mig
Note: LS
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (62)

Published as George Borjas, 2013. "The analytics of the wage effect of immigration," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 2(1), pages 1-25, December.

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Journal Article: The analytics of the wage effect of immigration (2013) Downloads
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