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Economy-wide effects of reducing illegal immigrants in US employment

Dixon, Peter, Johnson, Martin and Rimmer, Maureen T (2010) Economy-wide effects of reducing illegal immigrants in US employment. Contemporary Economic Policy, 29 (1). pp. 14-30. ISSN 1074-3529 (print) 1465-7287 (online)

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Abstract

We use an economy-wide model to analyze the effects of three broad programs to reduce illegal immigrants in U.S. employment: tighter border security; taxes on employers; and vigorous prosecution of employers. After looking at macroeconomic industry and occupational effects, we decompose the welfare effect for legal residents into six parts covering changes in: producer surplus and illegal wage rates; skilled employment opportunities for natives; aggregate capital; aggregate legal employment; the terms of trade; and public expenditure. The type of program matters. Our analysis suggests a prima facie case in favor of taxes on employers. (JEL J61, C68)

Item Type: Article
Uncontrolled Keywords: illegal immigrants, illegal employment, United States, economy-wide effects, migration policy
Subjects: FOR Classification > 1402 Applied Economics
FOR Classification > 1605 Policy and Administration
Faculty/School/Research Centre/Department > College of Business
Faculty/School/Research Centre/Department > Centre of Policy Studies (CoPS)
Depositing User: Ms Julie Gardner
Date Deposited: 10 Apr 2014 01:00
Last Modified: 04 Oct 2015 23:54
URI: http://vuir.vu.edu.au/id/eprint/24682
DOI: https://doi.org/10.1111/j.1465-7287.2010.00208.x
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Citations in Scopus: 19 - View on Scopus

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