Cracks in the Melting Pot: Immigration, School Choice, and Segregation

We examine whether low-skilled immigration to the United States has contributed to immigrants' residential isolation by reducing native demand for public schools. We address endogeneity in school demographics using established Mexican settlement patterns in California and use a comparison group to account for immigration's broader effects. We estimate that between 1970 and 2000, the average California school district lost more than 14 non-Hispanic households with children to other districts in its metropolitan area for every 10 additional households enrolling low-English Hispanics in its public schools. By disproportionately isolating children, the native reaction to immigration may have longer-run consequences than previously thought. (JEL H75, I21, J15, J24, J61, R23)