Arbeitspapier

Does Low Skilled Immigration Increase Profits? Evidence from Italian Local Labour Markets

We estimate the (causal) effects of low skill immigration on the performance of Italian manufacturing firms. We find that an increase of the local supply of low skilled immigrants by one thousand units – which corresponds to 8.5 percent of the mean value - raises profits on average by somewhat less than half a percentage point, reduces average labour costs by about 0.1 percent and has no effect on TFP. The positive effects on profits are larger for small firms operating in low tech sectors and for firms located in areas specializing in low skill productions. Our evidence suggests that the recent waves of low skilled immigration in Italy may have hampered the transition to an economic structure characterized by high productivity and wage growth.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 12226

Klassifikation
Wirtschaft
Geographic Labor Mobility; Immigrant Workers
Thema
low skilled immigration
profits
Italy

Ereignis
Geistige Schöpfung
(wer)
Brunello, Giorgio
Lodigiani, Elisabetta
Rocco, Lorenzo
Ereignis
Veröffentlichung
(wer)
Institute of Labor Economics (IZA)
(wo)
Bonn
(wann)
2019

Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Brunello, Giorgio
  • Lodigiani, Elisabetta
  • Rocco, Lorenzo
  • Institute of Labor Economics (IZA)

Entstanden

  • 2019

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