On the aggregate effects of immigration in Spain

This paper presents a dynamic general equilibrium model designed to compute the aggregate impact of immigration, accounting for relevant supply and demand effects. We calibrate the model to the Spanish economy, allowing for enough heterogeneity in the demographic characteristics of immigrant and native workers. We consider an initial steady state characterized by the age structure of the Spanish population in 1995 and study the effects of several immigration scenarios on several macroeconomic variables (GDP, employment, productivity, etc.).