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...

Using unique matched employer-employee data from China, we discover that migrant workers in the manufacturing industry who are proficient in the local dialect earn lower wages than those who are not. We also find that workers with better dialect skills are more likely to settle for lower wages...