The economic contribution of unauthorized workers. An industry analysis.

Autor/inn/en	Edwards, Ryan; Ortega, Francesc
Titel	The economic contribution of unauthorized workers. An industry analysis. Gefälligkeitsübersetzung: Der wirtschaftliche Beitrag illegaler Arbeitnehmer. Eine Branchenanalyse.
Quelle	In: Regional science & urban economics, 67 (2017) November, S. 119-134 PDF als Volltext Link als defekt meldenVerfügbarkeit
Sprache	englisch
Dokumenttyp	online; gedruckt; Zeitschriftenaufsatz
ISSN	0166-0462; 1879-2308
DOI	10.1016/j.regsciurbeco.2017.09.004
Schlagwörter	Bildungsniveau; Illegalität; Inländer; Legalisierung; Migration; Bruttoinlandsprodukt; Produktivitätsentwicklung; Wertschöpfung; Illegale Beschäftigung; Sektorale Verteilung; USA
Abstract	"This paper provides a quantitative assessment of the economic contribution of unauthorized workers to the U.S. economy, and the potential gains from legalization. We employ a theoretical framework that allows for multiple industries and a heterogeneous workforce. Capital and labor are the inputs in production and the different types of labor are combined in a multi-nest CES framework that builds on Borjas (2003) and Ottaviano and Peri (2012). The model is calibrated using data on the characteristics of the workforce, including an indicator for imputed unauthorized status (Center for Migration Studies, 2014), and industry output from the BEA. Our results show that the economic contribution of unauthorized workers to the U.S. economy is substantial, at approximately 3.1% of GDP annually, which amounts to roughly $6 trillion over a 10-year period. These effects on production are smaller than the share of unauthorized workers in employment, which is close to 5%. The reason is that unauthorized workers are less skilled and appear to be less productive, on average, than natives and legal immigrants with the same observable skills. We also find that legalization of unauthorized workers would increase their contribution to 4.8% of private-sector GDP. The source of these gains stems from the productivity increase arising from the expanded labor market opportunities for these workers which, in turn, would lead to an increase in capital investment by employers." (Author's abstract, IAB-Doku).
Erfasst von	Institut für Arbeitsmarkt- und Berufsforschung, Nürnberg
Update	2018/2