The Impact of Immigration on the Labor Market Outcomes of Native Workers: Evidence Using Longitudinal Data from the LEHD

48 Pages Posted: 13 Dec 2016

See all articles by Ted Mouw

Ted Mouw

University of North Carolina (UNC) at Chapel Hill - Department of Sociology

Date Written: December 1, 2016

Abstract

Empirical estimates of the effect of immigration on native workers that rely on spatial comparisons have generally found small effects, but have been subject to the criticism that out-migration by native workers dampens the observed effect by spreading it over a larger area. In contrast, studies that rely on variation in immigration across industries, occupations, or education-based skill-levels often report large negative effects, but rely primarily on repeated cross-sectional data sets which also cannot account for the adjustment of native workers over time. In this paper, we use a newly available data set, the Longitudinal Employer Household Data (LEHD), which provides quarterly earnings records, geographic location, and firm and industry identifiers for 97% of all privately employed workers in 29 states. We use this data to analyze the impact of immigration on earnings changes and the mobility response of native workers. Overall, we find that although immigration has a negative effect on the earnings and employment of native workers, and positive effects on their firm, industry, and cross-state mobility, the overall size of the effects is small.

Suggested Citation

Mouw, Ted, The Impact of Immigration on the Labor Market Outcomes of Native Workers: Evidence Using Longitudinal Data from the LEHD (December 1, 2016). US Census Bureau Center for Economic Studies Paper No. CES-WP-16-56. Available at SSRN: https://ssrn.com/abstract=2884216 or http://dx.doi.org/10.2139/ssrn.2884216

Ted Mouw (Contact Author)

University of North Carolina (UNC) at Chapel Hill - Department of Sociology ( email )

Chapel Hill, NC 27599
United States

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