Universität zu Köln

Prantl, Susanne and Spitz-Oener, Alexandra (2020). The Impact of Immigration on Competing Natives' Wages: Evidence from German Reunification. Rev. Econ. Stat., 102 (1). S. 79 - 98. CAMBRIDGE: MIT PRESS. ISSN 1530-9142

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Abstract

After the fall of the Berlin Wall on November 9, 1989, and the collapse of the German Democratic Republic, a sudden, unexpected, and massive influx of East German migrants hit the entire West German labor market. The context is well suited for investigating whether immigration influences natives' wages and how the effects depend on product and labor market conditions. We propose direct measures of potential migration with exogenous variation, compare migrants to natives with similar capabilities, and segment the labor market along predetermined margins. We find that immigration can have negative effects on the wages of natives. These effects surface when product and labor markets are competitive but not under regulations that restrict the entry of firms and provide workers with a strong influence on firms' decision making.

Item Type:	Journal Article
Creators:	Creators Email ORCID ORCID Put Code Prantl, Susanne UNSPECIFIED UNSPECIFIED UNSPECIFIED Spitz-Oener, Alexandra UNSPECIFIED UNSPECIFIED UNSPECIFIED
URN:	urn:nbn:de:hbz:38-342955
DOI:	10.1162/rest_a_00853
Journal or Publication Title:	Rev. Econ. Stat.
Volume:	102
Number:	1
Page Range:	S. 79 - 98
Date:	2020
Publisher:	MIT PRESS
Place of Publication:	CAMBRIDGE
ISSN:	1530-9142
Language:	English
Faculty:	Unspecified
Divisions:	Unspecified
Subjects:	no entry
Uncontrolled Keywords:	Keywords Language LABOR-MARKET INSTITUTIONS; EMPLOYMENT PROTECTION; PRODUCT; CONSEQUENCES; DETERMINANTS; DEREGULATION; MIGRATION; EDUCATION; EARNINGS; REFORMS Multiple languages Economics; Social Sciences, Mathematical Methods Multiple languages
URI:	http://kups.ub.uni-koeln.de/id/eprint/34295