Minimum Wages and the Creation of Illegal Migration

descriptionPublicationkeyboard_double_arrow_right Article , Research , Preprint 01 Jan 2013 English Publisher:Elsevier BVJournal:SSRN Electronic Journal (eissn: 1556-5068,

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Authors: Gil S. Epstein; Odelia Heizler (Cohen);

doi: 10.2139/ssrn.2223147

handle: 10419/295440 , 10419/96045 , 10419/71617

Minimum Wages and the Creation of Illegal Migration

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Abstract

In this paper, we explore employers' decisions regarding the employment of legal and illegal immigrants in the presence of endogenous adjustment cost, minimum wages and an enforcement budget. We show that increasing the employment of legal foreign workers will increase the number of illegal immigrants which will replace the employment of the local population and thus creating illegal migration.

Related Organizations

Hebrew University of Jerusalem
Israel
University College London
United Kingdom
Bar-Ilan University
Institute for the Study of Labor
Germany
Bar Ilan University

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Keywords

Lohnstruktur, Arbeitsmigranten, Rechtsdurchsetzung, minimum wages, ddc:330, K42, illegal immigration, foreign worker, minimum wages, Arbeitsnachfrage, illegal immigration, foreign worker, minimum wages., foreign worker, illegal immigration, minimum wages, illegal immigration, Mindestlohn, J3, Migranten, foreign worker, Theorie, Schwarzarbeit, jel: jel:K42, jel: jel:K4, jel: jel:J3

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