The Fiscal Impact of Immigration: Labor Displacement, Wages, and the Allocation of Public Spending*
We reexamine the effect of immigration on public finances by accounting for second-order effects. We exploit exogenous variation in immigration across Colombian metropolitan areas between 2013 and 2018, resulting from the large increase in Venezuelan immigrants, and instrument immigrants’ residential location using preexisting settlement patterns and the distance between origin-destination flows. Our findings indicate that […]
Immigrant Networks in the Labor Market
Using unique survey data linked to social security records and the large influx of Venezuelan immigrants to Colombia in recent years, this paper provides evidence on the empirical relationships between referral networks and labor market outcomes of immigrants by focusing on the spatial dimension of social interactions. By explicitly accounting for both the urban and […]
Brothers or invaders? How crisis-driven migrants shape voting behavior
We study the electoral effects of the arrival of 1.3 million Venezuelan refugees in Colombia as a consequence of the Venezuelan humanitarian crisis. We exploit the fact that forced migrants disproportionately locate in places with earlier settlements of Venezuelans after the intensification of the crisis. We find that larger migration shocks increase voter’s turnout and […]
The Fiscal Impact of Immigration: Labor Displacement, Wages, and the Allocation of Public Spending
We reexamine the effect of immigration on public finances by accounting for second-order effects. We exploit exogenous variation in immigration across Colombian metropolitan areas between 2013 and 2018,resulting from the large increase in Venezuelan immigrants,and instrument immigrants’ residential location using pre-existing settlement patterns and the distance between origin-destination flows. We find that immigration did not […]