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Immigration, Unemployment and Growth in the Host Country: Bootstrap Panel Granger Causality Analysis on OECD Countries

Author

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  • Boubtane, Ekrame

    (CERDI, Université Clermont Auvergne)

  • Coulibaly, Dramane

    (CEPII, Paris)

  • Rault, Christophe

    (University of Orléans)

Abstract

This paper examines the causality relationship between immigration, unemployment and economic growth of the host country. We employ the bootstrap panel Granger causality testing approach of Kónya (2006) that allows to test for causality on each individual country separably by accounting for dependence across countries. Using annual data over the period 1980-2005 for 22 OECD countries, we find that, only in Portugal, unemployment negatively causes immigration, while in any country, immigration does not cause unemployment. We also find that, in France, Iceland, Norway and United Kingdom, growth positively causes immigration, while in any country, immigration does not cause growth.

Suggested Citation

  • Boubtane, Ekrame & Coulibaly, Dramane & Rault, Christophe, 2011. "Immigration, Unemployment and Growth in the Host Country: Bootstrap Panel Granger Causality Analysis on OECD Countries," IZA Discussion Papers 5853, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp5853
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    References listed on IDEAS

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    Cited by:

    1. ., 2012. "Migration impact assessment: a state of the art," Chapters, in: Peter Nijkamp & Jacques Poot & Mediha Sahin (ed.), Migration Impact Assessment, chapter 1, pages 3-62, Edward Elgar Publishing.
    2. Esposito, Piero & Collignon, Stefan & Scicchitano, Sergio, 2019. "Immigration and unemployment in Europe: does the core-periphery dualism matter?," GLO Discussion Paper Series 310, Global Labor Organization (GLO).
    3. Ekrame Boubtane, 2019. "Les effets économiques de l’immigration pour les pays d’accueil," PSE-Ecole d'économie de Paris (Postprint) hal-03067790, HAL.
    4. Coulibaly, Dramane, 2015. "Remittances and financial development in Sub-Saharan African countries: A system approach," Economic Modelling, Elsevier, vol. 45(C), pages 249-258.
    5. Deniz Dilan Karaman Örsal, 2021. "Long-run economic determinants of asylum applications," Economics Bulletin, AccessEcon, vol. 41(1), pages 48-59.
    6. Jesús Ruiz-Huerta Carbonell & Rosa María Martínez López, 2014. "Multidimensional poverty in immigrant households: a comparative analysis within the Europe 2020 framework," CIRANO Working Papers 2014s-18, CIRANO.
    7. Joan Muysken & Thomas Ziesemer, 2014. "The Effect of Immigration on Economic Growth in an Ageing Economy," Bulletin of Applied Economics, Risk Market Journals, vol. 1(1), pages 35-63.
    8. Nijkamp, P. & Poot, H.J., 2012. "Migration impact assessment: A state of the art," Serie Research Memoranda 0009, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
    9. Chletsos, Michael & Roupakias, Stelios, 2012. "Immigration, Unemployment and Growth: Empirical Evidence from Greece," MPRA Paper 39861, University Library of Munich, Germany.

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    More about this item

    Keywords

    unemployment; growth; immigration; Granger causality;
    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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