Article (Scientific journals)
Immmigration and Internal Mobility in Canada
BEINE, Michel; Coulombe, Serge
2018In Journal of Population economics, 31 (1), p. 69-106
Peer reviewed
 

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Keywords :
internal mobility; immigration; foreign workers; displacement effect
Abstract :
[en] We analyze the impact of temporary foreign workers (TFWs) and permanent immigrants on interprovincial mobility in Canada. Particular attention is given to the Canadian program of TFWs that has intensified enormously over the last 30 years. Results of the empirical analysis are analyzed through the lens of a small theoretical model that incorporates a job-matching framework (Pissaridès, 1985, 2000) in a migration model à la Harris and Todaro (1970). We find that the inflow of TFWs into a given province tends to substantially decrease net interprovincial mobility. This is not the case, however, for the inflow of permanent immigrants selected through the Canadian point system. On average, each inflow of 100 TFWs is found to decrease net interprovincial migrants within the year by about 50, a number substantially higher than is present in existing literature. This number increases to 180 in the long run. The negative impact of TFWs is ascribed to the fact that TFWs are hired directly by employers, take vacant jobs, and display employment and participation rates of close to 100 per cent. Our paper suggests that, in general, the impact of immigration on labor market conditions depends critically on the way immigrants are selected.
Disciplines :
International economics
Author, co-author :
BEINE, Michel  ;  University of Luxembourg > Faculty of Law, Economics and Finance (FDEF) > Center for Research in Economic Analysis (CREA)
Coulombe, Serge
External co-authors :
yes
Language :
English
Title :
Immmigration and Internal Mobility in Canada
Publication date :
2018
Journal title :
Journal of Population economics
Volume :
31
Issue :
1
Pages :
69-106
Peer reviewed :
Peer reviewed
Available on ORBilu :
since 21 January 2016

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