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Immigration Policy and Macroeconomic Performance in France

Author

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  • Hippolyte d'Albis

    (CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Ekrame Boubtane

    (CERDI - Centre d'Études et de Recherches sur le Développement International - UdA - Université d'Auvergne - Clermont-Ferrand I - CNRS - Centre National de la Recherche Scientifique, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

  • Dramane Coulibaly

    (EconomiX - EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique)

Abstract

This paper quantitatively assesses the interaction between permanent immigration into France and France's macroeconomic performance as seen through its GDP per capita and its unemployment rate. It takes advantage of a new database where immigration is measured by the flow of newly-issued long-term residence permits, categorized by both the nationality of the immigrant and the reason of permit issuance. Using a VAR model estimation of monthly data over the period 1994-2008, we find that immigration flow significantly responds to France's macroeconomic performance: positively to the country's GDP per capita and negatively to its unemployment rate. At the same time, we find that immigration itself increases France's GDP per capita, particularly in the case of family immigration. This family immigration also reduces the country's unemployment rate, especially when the families come from developing countries.

Suggested Citation

  • Hippolyte d'Albis & Ekrame Boubtane & Dramane Coulibaly, 2015. "Immigration Policy and Macroeconomic Performance in France," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-01162441, HAL.
    • Handle: RePEc:hal:cesptp:halshs-01162441
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    1. Maffei-Faccioli, Nicolò & Vella, Eugenia, 2021. "Does immigration grow the pie? Asymmetric evidence from Germany," European Economic Review, Elsevier, vol. 138(C).
    2. d’Albis, Hippolyte & Boubtane, Ekrame & Coulibaly, Dramane, 2019. "Immigration and public finances in OECD countries," Journal of Economic Dynamics and Control, Elsevier, vol. 99(C), pages 116-151.
    3. Chassamboulli, Andri & Fontaine, Idriss & Gálvez-Iniesta, Ismael & Gomes, Pedro, 2024. "Immigration and labour market flows," Labour Economics, Elsevier, vol. 86(C).
    4. d’Albis, Hippolyte & Boubtane, Ekrame & Coulibaly, Dramane, 2021. "Demographic changes and the labor income share," European Economic Review, Elsevier, vol. 131(C).
    5. Marcus H. Böhme & Sarah Kups, 2017. "The economic effects of labour immigration in developing countries: A literature review," OECD Development Centre Working Papers 335, OECD Publishing.
    6. Hippolyte d'Albis & Ekrame Boubtane & Dramane Coulibaly, 2018. "Immigration and Government Spending in OECD Countries," Working Papers hal-01852411, HAL.
    7. Hippolyte d’Albis & Ekrame Boubtane & Dramane Coulibaly, 2019. "International Migration and Regional Housing Markets: Evidence from France," International Regional Science Review, , vol. 42(2), pages 147-180, March.
    8. Yajna Govind, 2021. "Is naturalization a passport for better labor market integration? Evidence from a quasi-experimental setting," PSE Working Papers halshs-03265055, HAL.
    9. Hippolyte d’Albis & Ekrame Boubtane, 2015. "Caractérisation des flux migratoires en France à partir des statistiques de délivrance de titres de séjour (1998-2013)," Population (french edition), Institut National d'Études Démographiques (INED), vol. 70(3), pages 487-523.
    10. Hippolyte d’Albis & Ekrame Boubtane & Dramane Coulibaly, 2019. "International Migration and Regional Housing Markets: Evidence from France," International Regional Science Review, , vol. 42(2), pages 147-180, March.
    11. Yoon, Heeyeun, 2018. "Interrelationships between retail clusters in different hierarchies, land value and property development: A panel VAR approach," Land Use Policy, Elsevier, vol. 78(C), pages 245-257.
    12. Francesco Furlanetto & Orjan Robstad, 2019. "Immigration and the macroeconomy: some new empirical evidence," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 34, pages 1-19, October.
    13. Francesco Furlanetto & Orjan Robstad, 2019. "Immigration and the macroeconomy: some new empirical evidence," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 34, pages 1-19, October.
    14. Carmelo Pierpaolo Parello, 2021. "Free labor mobility and indeterminacy in models of neoclassical growth," Journal of Economics, Springer, vol. 133(1), pages 27-46, June.
    15. Hippolyte d’Albis & Ekrame Boubtane & Dramane Coulibaly, 2019. "International Migration and Regional Housing Markets: Evidence from France," International Regional Science Review, , vol. 42(2), pages 147-180, March.
    16. María Delgado Gómez-Flors & Maite Alguacil, 2018. "The Impact of Immigrant Diversity on Wages. The Spanish Experience," Sustainability, MDPI, vol. 10(9), pages 1-29, September.

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    More about this item

    Keywords

    growth; unemployment; VAR models; immigration; female and family migration;
    All these keywords.

    JEL classification:

    • E20 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - General (includes Measurement and Data)
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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