Job market candidate
Tel. +34 93 542 2575
Available for Interviews at :
Simposio de la Asociación Española de Economía (SAEe), December 14-16, Barcelona, Spain
Allied Social Science Associations (ASSA), January 5-7, Philadelphia, US
Labor Economics. Migration Economics
"The Labor Market Impact of Undocumented Immigrants: Job Creation vs. Job Competition" (Job Market Paper)
This paper studies the labor market impact of documented and undocumented immigration in a model with search frictions and non-random hiring. Since they accept lower wages, firms obtain a higher match surplus from hiring immigrants rather than natives. Therefore, immigration results in the creation of additional jobs but also generates more job competition. Whether job creation or competition is the dominating effect depends on the size of the induced fall in expected wages paid by firms. Using US data, I show in my empirical analysis that among low-skilled workers undocumented immigrants earn 8% less and have a 7 pp higher job finding rate than documented immigrants. Parameterizing the model based on these estimates, I find that the job creation effect of undocumented immigration dominates its job competition effect and leads to gains in terms of both employment and wages for native workers. In contrast, documented immigration leads to a fall in natives’ employment due to its weaker job creation effect. A policy of stricter immigration enforcement, simulated by a rise in the deportation rate of undocumented workers, decreases firms’ expected match surplus, mutes job creation and thus raises the unemployment rates of all workers.
“Immigrants' Residential Choices and their Consequences”, with Joan Monràs.
This paper investigates the causes and effects of the spatial distribution of immigrants across US cities. We document that: a) immigrants concentrate in large, high-wage, and expensive cities, b) the earnings gap between immigrants and natives is higher in larger and more expensive cities, and c) immigrants consume less locally than natives. In order to explain these findings, we develop a simple quantitative spatial equilibrium model in which immigrants consume (either directly, via remittances, or future consumption) a fraction of their income in their countries of origin. Thus, immigrants not only care about local prices, but also about price levels in their home country. Hence, if foreign goods are cheaper than local goods, immigrants prefer to live in high-wage, high-price, and high-productivity cities, where they also accept lower wages than natives. Using the estimated model we show that current levels of immigration have reduced economic activity in smaller, less productive cities by around 3 percent, while they have expanded the activity in large and productive cities by around 4 percent. This has increased total aggregate output per worker by around .15 percent.
Research Papers in Progress
“Labor Market Competition and the Assimilation of Immigrants”, with Albrecht Glitz and Joan Llull