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Three Million Foreigners, Three Million Unemployed? Immigration and the French Labor Market
Author: Dominique M. Gross
Series:
IMF Working Papers
Volume/Issue:
Volume 1999: Issue 124
Language:
English
Publication Date:
01 Sep 1999
DOI:
https://doi.org/10.5089/9781451854701.001
ISBN:
9781451854701
ISSN:
1018-5941
Pages:
29
Keywords:
WP; International migration; labor market dynamics; cointegration; immigrant worker; immigration flow; amnestied worker; workers matter; worker sare; immigration policy; Migration; Labor markets; Unemployment; Unemployment rate; Labor force; Maghreb
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IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.
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This paper investigates the effects of the flows of immigrant workers on the French labor market between the mid-1970s and mid-1990s. Using a system of equations for unemployment, labor-force participation, the real wage, and the immigration rate, it is shown that, in the long run, legal and amnestied immigrant workers, and their families, lower the unemployment rate permanently. In the short run, the arrival of immigrants increases unemployment slightly with an impact similar to that of an increase in domestic labor-force participation. The composition of immigration flows matters, and the proportion of skilled and less-skilled workers should remain balanced.
Cover IMF Working Papers
IMF Working Papers
ISSN:
1018-5941
Publisher:
International Monetary Fund