nep-mig New Economics Papers
on Economics of Human Migration
Issue of 2023‒03‒13
six papers chosen by
Yuji Tamura
La Trobe University

  1. Measuring the effect of cash incentives on migrant integration in Norway: Early results from a quasi-experiment By Meng Le Zhang; Henrik Lindegaard Andersen;
  2. Immigrant-native health disparities: an intersectional perspective on the weathering hypothesis By Silvia Loi; Peng Li; Mikko Myrskylä
  3. Minimum Wage in Germany: Countering the Wage and Employment Gap between Migrants and Natives? By Kai Ingwersen; Stephan L. Thomsen
  4. Bargaining for working conditions and social rights of migrant workers in Central East European countries (BARMIG), National report: Estonia By Jaan Masso; Liis Roosaar; Kadri Karma
  5. The Effects of the Venezuelan Refugee Crisis on the Brazilian Labor Market By Hugo Sant'Anna; Samyam Shrestha
  6. Forced Migration and Social Cohesion: Evidence from the 2015/16 Mass Inflow in Germany By Emanuele Albarosa; Benjamin Elsner

  1. By: Meng Le Zhang (Department of Social Science, University of Sheffield, Sheffield, United Kingdom.); Henrik Lindegaard Andersen (Department of Economic Administrative Studies, Western Norway University of Applied Sciences, Haugesund, Norway.); (Department of Economic Administrative Studies, Western Norway University of Applied Sciences, Haugesund, Norway.)
    Abstract: The Norwegian Introduction Programme (NIP) is a flagship social policy for integrating migrants into Norwegian society. NIP is a two-year programme of full-time education and training. As part of NIP, a special benefit (Introduksjonsstønad) is paid to attendees to incentive participation. The Introduksjonsstønad is substantial, and it increases by 50% when participants reach age 25 (from approx. €12, 860 to €19, 290). Accounting for age, we find that increasing the Introduksjonsstønad results in increased NIP participation. Despite increasing cost and participation, we do not find any evidence of increased labour market outcomes. Norway’s approach to integration is both ambitious and expensive however our early findings show that NIP may not be effective. Given the importance of integration in Norway and the role of NIP, we suggest that further research needs to be done into credible alternatives or improvements to NIP and the Introduksjonsstønad.
    Keywords: Conditional Cash Transfer, Migrants, Integration, Norwegian Introduction Programme, Quasi-experiment, Regression Kink Design
    JEL: C12 I38 J15 J18
    Date: 2023–01
  2. By: Silvia Loi (Max Planck Institute for Demographic Research, Rostock, Germany); Peng Li (Max Planck Institute for Demographic Research, Rostock, Germany); Mikko Myrskylä (Max Planck Institute for Demographic Research, Rostock, Germany)
    Abstract: The weathering hypothesis implies that there is an interaction between age and race or ethnicity that results in disadvantaged groups experiencing a more rapid decline in health than other groups. While the weathering hypothesis has been tested based on racial or ethnic identity, less is known about weathering by immigration status, and about weathering as viewed from an intersectional perspective. We contribute to the literature on weathering by addressing three research questions: Are immigrants, and especially immigrant women, ageing in poorer health? Does education protect immigrants from a faster health decline with age? How do income and marital status affect the health trajectories of immigrants and natives? We focus on Germany and estimate trajectories of declining health at the intersection of age, sex, and nativity, and evaluate the role of education. We estimate the ages at immigrant-native crossover across the health trajectories, and the corresponding health levels. We find that immigrants, and especially immigrant women, age in poorer health than natives. Furthermore, we show that high education explains the differential relationship between age, nativity, and health. We also find that employment and marital status only partly account for the observed gaps, as differences persist even after these factors are considered.
    JEL: J1 Z0
    Date: 2023
  3. By: Kai Ingwersen; Stephan L. Thomsen
    Abstract: This paper investigates the effects of the introduction of a statutory minimum wage in Germany on the wages and employment of migrants. Migrants are an overrepresented group in the low-wage sector and can be expected to particularly benefit from a minimum wage. We combine a “differential trend adjusted difference-in-differences estimator” (DTADD) and descriptive evidence to evaluate the impact of the minimum wage introduction in 2015 on hourly wages, monthly salaries, working hours and changes in employment and wage distribution. Contrary to expectations, our results show that the introduction of the minimum wage has weakened the position of migrants in the low-wage sector compared to their native counterparts. We observe an increase in part-time employment, a less pronounced decline in unemployment and a greater reduction in weekly working hours among migrants. The introduction of the minimum wage caused a temporary convergence in hourly wages between migrants and natives, which subsequently turned into a wage divergence. Migrant men in the low-wage sector have been particularly negatively affected by the introduction of the minimum wage. Moreover, increasing hourly wages have not translated into higher monthly salaries, thus widening wage inequality between migrants and natives.
    Keywords: Minimum wage, migrants, differential trend adjusted difference-in-differences, SOEP
    JEL: J31 J63 J38 J21
    Date: 2022
  4. By: Jaan Masso; Liis Roosaar; Kadri Karma
    Abstract: Since Estonia regained its independence in 1991, the regulation of international migration has been rather strict, with a relatively low annual migration quota for long-term employ-ment. Nevertheless, the 2010s saw the increased migration of third-country nationals, pri-marily via temporary working schemes. Since 2015, Estonia has experienced positive net migration, even in 2020. However, the importance of migrant workers varies significantly across the analysed sectors. The transience of migration causes problems for both the work-ing conditions and labour market integration of migrants. All signs indicate that social part-ners are often aware of these problems; however, though they lack the capacities to deal with these issues, they are interested in developing them. Despite some differences in how employers and unions perceive the need for a migrant workforce, even unions do not ques-tion the need for an additional migrant workforce. In order to tackle the challenges of the migrant workforce, alternatives to the current strict quota-based migration regulation sys-tem should be considered. Furthermore, the regulations should be adjusted by taking into account the specifics of the particular sectors in aspects such as the strength of the social partners, labour shortages and skills requirements, and the nature of the work and projects.
    Date: 2022–08–16
  5. By: Hugo Sant'Anna; Samyam Shrestha
    Abstract: We use administrative panel data on the universe of Brazilian formal workers to investigate the effects of the Venezuelan crisis on the Brazilian labor market, focusing on the state of Roraima, where the crisis had a direct impact. The results showed that the average monthly wage of Brazilians in Roraima increased by about 3 percent during the early stages of the crisis compared to the control states. The study found negligible job displacement and evidence of Brazilians moving to positions with fewer immigrants. We also found that immigrant presence in the formal sector potentially pushed wages downwards, but the presence of immigrants in the informal sector offsets the substitution effects. Overall, the study highlights the complex and multifaceted nature of immigration on the labor market and the need for policies that consider the welfare of immigrants and native workers.
    Date: 2023–02
  6. By: Emanuele Albarosa; Benjamin Elsner
    Abstract: A commonly expressed concern about immigration is that it undermines social cohesion in the receiving country. In this paper, we study the impact of a large and sudden inflow of asylum seekers on several indicators of social cohesion. In 2015/16, over one million asylum seekers from Syria, Afghanistan, and elsewhere arrived in Germany. Anecdotal evidence suggests that this inflow changed the public opinion on hosting asylum seekers, from being highly welcoming to fairly negative within a few months. Using individual- and county-level panel data, we test whether the evidence supports this apparent shift in attitudes. In a difference-in-differences design, we compare the attitudes of individuals in areas with large vs. small local inflows before and after the inflow. In individual survey data, we find mixed evidence of an impact on social cohesion. In a representative sample, we find no evidence that the inflow undermined social cohesion, except for a negative effect on donations to charity. In areas with high vote shares for the populist party AfD, we find that the inflow led to greater anti-immigrant sentiment and a greater concern about crime. We also show that areas with larger increases in the number of asylum seekers experienced a significant increase in anti-immigrant violence, which lasted for about two years before returning to its pre-inflow level. This effect was larger in areas with higher unemployment and greater support for AfD.
    Date: 2023

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