This paper presents and tests a model that may partially explain why the demand for labor adapts to the availability of labor. In particular, I postulate that the cost of hiring declines with increases in the amount of labor available. The cost of hiring would decrease with a growth in available...

The importance of using natural experiments in economic research has long been recognized. Yet, it is only in recent years that natural experiments have become an integral part of the economist's analytical toolbox, thanks to the efforts of Meyer, Card, Peters, Krueger, Gruber, and others. This...

Two issues have taken center stage in the recent debates about U.S. immigration policy: one, illegal immigration and more generally the entrance of poorly educated individuals into the U.S. economy and two, whether the U.S. should continue its family-based admissions system or move towards a...