Nber Working Paper Series Immigration, Search, and Redistribution: a Quantitative Assessment of Native Welfare
نویسندگان
چکیده
We study the effects of immigration on native welfare in a general equilibrium model featuring two skill types, search frictions, wage bargaining, and a redistributive welfare state. Our quantitative analysis suggests that, in all 20 countries studied, immigration attenuates the effects of search frictions. These gains tend to outweigh the welfare costs of redistribution. Immigration has increased native welfare in almost all countries. Both high-skilled and low-skilled natives benefit in two thirds of countries, contrary to what models without search frictions predict. Median total gains from migration are 1.19% and 1.00% for high and low skilled natives, respectively. Michele Battisti Ifo Institute Poschingerstraße 5 81679 Munich Germany [email protected] Gabriel Felbermayr Ifo Institute Poschingerstraße 5 81679 Munich Germany and University of Munich [email protected] Giovanni Peri Department of Economics University of California, Davis One Shields Avenue Davis, CA 95616 and NBER [email protected] Panu Poutvaara Ifo Institute Poschingerstraße 5 81679 Munich Germany and University of Munich [email protected]
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