The effects of (different types of) immigrants on labor market outcomes of (different groups of) natives

2017 ◽  
Vol 38 (3) ◽  
pp. 338-353 ◽  
Author(s):  
Muhammad Asali

Purpose The purpose of this paper is to study the effects of different types of immigrants on the labor market outcomes of different native groups. Design/methodology/approach The study uses a quasi-experimental approach, utilizing the border closures policy as well as political instability and economic conditions in the major countries of origin as exogenous sources of variation in the number of immigrants, to measure the effect of an immigrant-induced labor supply shock of each immigrant type (Palestinians and foreign guest workers) on the wage and employment of native workers (Israeli Arabs and Israeli Jews). Findings The effects of immigrants on local labor market outcomes vary with their origin. The different native groups, moreover, are affected differently by each type of immigrants. Specifically, a foreign-worker-induced increase in the labor supply negatively affects only the least-skilled Jewish workers. In contrast, a 10 percent Palestinian-induced increase in the labor supply increases the wage of Israeli Arabs by 3.4 percent, suggesting a net complementarity effect. Short-term slight employment adjustments occur at the intensive rather than the extensive margin. Originality/value The paper studies heterogeneous effects of immigrants by their type; also it studies heterogeneous effects experienced by different native groups. This paper informs the policy discussion about immigration and its effects on native workers.

2019 ◽  
Vol 27 (79) ◽  
pp. 62-90
Author(s):  
Juan A. Correa ◽  
Pablo Gutiérrez ◽  
Miguel Lorca ◽  
Raúl Morales ◽  
Francisco Parro

Purpose This paper aims to study the effect of family socioeconomic status (SES) on academic and labor market outcomes. Design/methodology/approach The authors used a rich data set of administrative records for test scores, individual background and adult earnings of a cohort of agents, covering a period spanning the agents' upper-secondary education and their early years in the labor market. Findings The authors find that students with the highest SES obtained a 1.5 standard deviations higher score in the college admission test than students who had the same academic outcomes in the eighth grade test but belong to the lowest SES. Similarly, among students that obtained the same scores in the college admission test, those with the highest SES earned monthly wages 0.7 standard deviations higher than those with the lowest SES. Originality/value The findings highlight that family socioeconomic background continues to influence outcomes during individuals’ upper secondary education and early years in the labor market.


Author(s):  
Terra McKinnish

Marriage and labor market outcomes are deeply related, particularly for women. A large literature finds that the labor supply decisions of married women respond to their husbands’ employment status, wages, and job characteristics. There is also evidence that the effects of spouse characteristics on labor market outcomes operate not just through standard neoclassical cross-wage and income effects but also through household bargaining and gender norm effects, in which the relative incomes of husband and wife affect the distribution of marital surplus, marital satisfaction, and marital stability. Marriage market characteristics affect marital status and spouse characteristics, as well as the outside option, and therefore bargaining power, within marriage. Marriage market characteristics can therefore affect premarital investments, which ultimately affect labor market outcomes within marriage and also affect labor supply decisions within marriage conditional on these premarital investments.


2017 ◽  
Vol 59 (5) ◽  
pp. 534-546 ◽  
Author(s):  
Piriya Pholphirul

Purpose Educational mismatches constitute negative impacts on labor markets in most countries, Thailand is no exception. The purpose of this paper is to quantify the degree of educational mismatch in Thailand and its impacts on labor market outcomes. Design/methodology/approach This study analyzes data obtained from Thailand’s Labor Force Survey to estimate the likelihood of horizontal and vertical mismatches and their impacts on labor market outcomes. Findings Estimation results reveal the existence of a high level of both vertical and horizontal mismatches in the labor market. The vertical mismatch tends to be most prevalent in the case of graduates with degrees in the social sciences, while the existence of the horizontal mismatch is mostly found in the case of graduates with backgrounds in the physical sciences. Samples with a degree in health science seem to be least impacted by both types of mismatch. Education-job mismatches, either vertical or horizontal mismatches, are found to cause negative impacts on workers’ employment. Findings indicate that workers who encountered either horizontal or vertical educational mismatches tended to have lower monthly incomes than did those without such mismatches. Vertical mismatches seemed to result in lower incomes than did the horizontal mismatches. Furthermore, both types of mismatch are found to not have any significant impact on workers’ employability. Research limitations/implications Nevertheless, due to different types of mismatches such as skill mismatch or personality mismatch, this paper only quantifies degree mismatch on the context of Thailand only. Nevertheless, different structure of labor market can show different findings. Practical implications Both horizontal mismatch and vertical mismatch can be mitigated with strong collaboration system between colleges/universities and employers. Therefore, the government should further promote better cooperation between universities and the private sector (industry-university linkages) by encouraging more exchanges between high-level executives and students of the private sector and higher-education institutes. More opportunities for students to practice their skills in real workplace settings should be provided, and students should also be able to gain credits from participating in such training. In Thailand, at present there are only a few degree programs that require students to complete an internship. Social implications As for social policy recommendations, to reduce both horizontal and vertical mismatches in practices, it is essential that the education sector promote a life-long learning framework that allows workers whose jobs do not match their educational background (or with their educational attainment) to receive the training and develop the skills required by employers. Originality/value Comparing to other literature in these areas in which survey data from the authors are relied, this paper, however, uses the Thai Labor Force Survey, which is the national representative sample data set. The results found from this paper are therefore useful to be reliable on implying appropriated policy recommendations.


2015 ◽  
Vol 4 (2) ◽  
pp. 142-151 ◽  
Author(s):  
Lauren R. Heller ◽  
E. Frank Stephenson

Purpose – The purpose of this paper is to reconcile research finding that labor market outcomes are related to economic freedom for entrepreneurs and separate research finding that higher homeownership rates are associated with more unemployment. Design/methodology/approach – Using panel data covering the 50 states over 1981-2009, this paper analyzes the relationship between labor market conditions, economic freedom, and homeownership rates. Findings – The results indicate that economic freedom is associated with favorable labor market conditions but that the relationship between homeownership and poor labor market outcomes is small and insignificant in most specifications once economic freedom is accounted for. Originality/value – This paper is the first paper to examine the relationship between labor market outcomes and both homeownership and economic freedom. The results suggest that the economic environment for entrepreneurs is more important than any rigidities created by homeownership.


2021 ◽  
Author(s):  
◽  
Hannah Illing

In this dissertation, I analyze the effect of economic shocks on workers' labor market outcomes. In the first part of this thesis (Chapter 2), I investigate a labor supply shock in the form of cross-border migration. Chapters 3 and 4 in the second part of this thesis focus on the labor market impact of job displacement, resulting from a mass layoff, on individual workers’ careers.


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