Immigration And Growth

Feb 6 2013 @ 3:38pm

Immigration_Wages

Catherine Rampell finds that “the general takeaway from conservative and liberal economists is that immigration is good for Americans’ living standards over the long run.” But, she notes, there “is some disagreement about whether the wage benefits of immigration are evenly distributed among all workers”:

The chart [above] was created [pdf] by the Hamilton Project and is based on this 2008 study. It shows the results of two different economic models designed to estimate the effect that immigration from 1990 to 2006 is likely to have had on wages for American workers (after adjusting for inflation).

The purple bars represent estimates based on research by George Borjas and Lawrence Katz, and show that immigration may have lowered the wages of American-born high school dropouts by 4.7 percent and those of college-educated workers by 1.7 percent. The blue bars show the results of a different model, created by Gianmarco I.P. Ottaviano and Giovanni Peri, that finds that all educational groups likely benefited to some small degree.