The Labor Market Impact of Immigration: Job Creation versus Job Competition
构建搜索模型研究合法与非法移民对劳动力市场的影响，发现非法移民因接受更低工资而促进就业创造、降低本地人失业率，但合法移民则加剧竞争。
This paper studies the labor market effects of both documented and undocumented immigration in a search model featuring nonrandom hiring. As immigrants accept lower wages, they are preferably chosen by firms and therefore have higher job finding rates than natives, consistent with evidence found in US data. Immigration leads to the creation of additional jobs but also raises competition for natives. The dominant effect depends on the fall in wage costs, which is larger for undocumented immigration than it is for legal immigration. The model predicts a dominating job creation effect for the former, reducing natives’ unemployment rate, but not for the latter.