How do rigid labor markets absorb immigration? Evidence from France

• DOI: 10.1186/s40176-016-0055-1
• Publication Date: 2016-04-14T09:11:55Z
• Authors: Anthony Edo
• Keywords: Margin (machine learning); Labor demand

Abstract This paper investigates how immigration can affect the labor market outcomes of native workers when their wages are rigid. I use a rich dataset for France and decompose according to whether they covered by fixed-term or indefinite-term contracts. Indefinite-term contracts associated with higher wage protection than that allow firms adjust as expire. an empirical methodology which captures direct effects immigrant-induced increase in supply on natives who have similar skills. find monthly decreases response immigration, while employment is margin through affected.