The 1986 US Immigration Reform and Control Act (IRCA) was directed at tackling the problem of growing unauthorized migration through legalization of unauthorized immigrants, increasing border security and sanctioning employers who hired unauthorized immigrants. Our paper investigates how the...

This paper studies worker displacement in the United States and the Netherlands. We discuss the relevant institutions, and we analyze the incidence and consequences of displacement. In the 1993 - 1995 period, displancement rates in the US and the Netherlands are about the same, and vary...

We present a theoretical explanation of the gender wage gap which turns on the interaction between men and women in households. In equilibria where men are over-represented in fulltime work, we show that firms rationally choose to hire women only at strictly lower wages than men. The model...