Brown, J. David; Hotchkiss, Julie L.; Quispe-Agnoli, Myriam - Institute for the Study of Labor (IZA) - 2009
Do firms employing undocumented workers have a competitive advantage? Using administrative data from the state of …. Firms are found to engage in herding behavior, being more likely to employ undocumented workers if competitors do. Rivals … prospects. This suggests that firms enjoy cost savings from employing lower-paid undocumented workers at wages less than their …