NC State Ag Economist Dr. Mike Walden – “Immigrants and Wages”
Mary: This is Mary Walden with economist MW, welcoming you to the economic perspective. Today’s program looks at immigrants and wages. Mike, there is a debate about the impact of immigrants on the pay of workers. Please explain the two sides of the debate and the empirical evidence on the question.
Mike: Summary Answer
- One side says the impact of more immigrants on rates of pay is a simple matter of supply – more immigrants mean a greater supply of workers, and more supply means lower pay
- Since the majority of recent immigrants are low-skilled, there are academic studies showing a reduction in the pay of domestic low-skilled workers as immigration has increased
- But the other side says – wait – depends if immigrants compete for jobs with domestic workers, or if they fill a void not being supplied by domestic workers
- There is some academic research showing immigrants fill a void – meaning they don’t directly compete with domestic workers – so there is no adverse impact on wages
- So, dueling views and dueling studies
- I’m MW
Mary: And I’m Mary Walden for the North Carolina Cooperative Extension Service
