Arbeitspapier

Do Immigrants Affect Firm-Specific Wages?

In this paper, we propose and test a novel effect of immigration on the wages of native workers. Existing studies have focused on the wage effects that result from changes in the aggregate labour supply in a competitive labour market. We argue that if labour markets are not fully competitive, the use of immigrants may also affect wage formation at the most disaggregate level – the workplace. Using linked employeremployee data, we find that an increased use of workers from less developed countries has a significantly negative effect on the wages of native workers at the workplace – also when controlling for potential endogeneity of the immigrant share using both fixed effects and IV. Additional evidence suggests that this effect works at least partly through a general effect on the wage norm in the firm of hiring employees with poor outside options (the immigrants).

Sprache
Englisch

Erschienen in
Series: Working paper ; No. 7-2008

Klassifikation
Wirtschaft
Firm Behavior: Theory
Fiscal Policies and Behavior of Economic Agents: Firm

Ereignis
Geistige Schöpfung
(wer)
Malchow-Møller, Nikolaj
Munch, Jakob Roland
Rose Skaksen, Jan
Ereignis
Veröffentlichung
(wer)
Copenhagen Business School (CBS), Department of Economics
(wo)
Frederiksberg
(wann)
2009

Handle
Letzte Aktualisierung
10.03.2025, 11:41 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Malchow-Møller, Nikolaj
  • Munch, Jakob Roland
  • Rose Skaksen, Jan
  • Copenhagen Business School (CBS), Department of Economics

Entstanden

  • 2009

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