This paper presents a methodology to identify net demand shocks as well as wage rigidities in heterogeneous labor markets on the basis of nonparametric regression. We show how this approach can be used to make suggestions for immigration policy in economies with labor market rigidities. In an...

Based on the current European discussion about immigration policy, this paper gives an overview of central economic consequences of immigration for a host country's labor market. The most important theoretical arguments are presented and evaluated against the available empirical evidence. The...

Among all European countries, Germany absorbs by far the largest number of immigrants. But to date, the German government has yet to adopt a system that will effectively control the influx of foreigners. The immigration of Ethnic Germans from Eastern Europe, which is due to historical events and...

Refugees, and immigrants more generally, often do not have access to all jobs in the labor market. We argue that restrictions on employment opportunities help explain why immigrants have lower employment and wages than native citizens. To test this hypothesis, we leverage refugees' exogenous...

Canada's immigration system is currently undergoing significant change driven by several goals that include (1) a desire to improve the economic outcomes of entering immigrants; (2) an attempt to better respond to short-term regional labor market shortages often associated with commodity booms,...

Theoretical arguments and previous country-level evidence indicate that immigrants are more fluid than natives in responding to changing labor shortages across countries, skill-groups or industries. The diversity across EU member states enables us to test this hypothesis across various...

We review developments in research on within-country migration, focusing on internal migration in the U.S. We begin by describing approaches to modelling individuals' migration decisions and equilibrium outcomes across local areas. Next, we summarize evidence regarding the impact of migration on...

The H-1B program allows firms in the United States to temporarily hire high-skilled foreign citizens. H-1B workers are highly concentrated among a small number of firms. We develop a theoretical model demonstrating that this phenomenon is an artifact of policy design: When the government...

This paper reviews and analyzes the effects of Canada's post World War II immigration policies with the perspective of what European policy makers can learn from this experience. Impact of Immigration on natives' employment and earnings, as well as, immigrants' labor market experiences are...