RESTRICTING EMPLOYMENT OF LOW-PAID IMMIGRANTS: A GENERAL EQUILIBRIUM ASSESSMENT OF THE SOCIAL WELFARE IMPLICATIONS FOR LEGAL U.S. WAGE-EARNERS
type="main" xml:lang="en"> <p>This paper builds on earlier work that used a general-equilibrium model to show that reducing employment of unauthorized immigrants in the United States through a tighter border-security policy lowers the average income of legal residents. Here we exploit further the detail available in the general-equilibrium model to look at distributional effects, recognizing that the policy increases wage rates for low-paid legal workers. We assess the social welfare effect on legal workers using a constant elasticity of substitution social welfare function. We contrast our general-equilibrium approach to immigration analysis with the more commonly used partial-equilibrium, econometric approach. (JEL D63, J61, C68)
Year of publication: |
2014
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Authors: | DIXON, PETER B. ; RIMMER, MAUREEN T. ; ROBERTS, BRYAN W. |
Published in: |
Contemporary Economic Policy. - Western Economic Association International - WEAI, ISSN 1074-3529. - Vol. 32.2014, 3, p. 639-652
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Publisher: |
Western Economic Association International - WEAI |
Saved in:
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