The Effect of Immigration along the Distribution of Wages - Essay Example

To begin with, it is particularly important to point out that the authors did not examine immigration as a complex process in general, but focuses on the notion of distribution of native wages, which contributes to the high precision as well as the objectivity of the article.

According to the authors, immigrants, when they come to a new country, experience a significant amount of downgrading. In other words, this is the destiny that all foreigners will have to face: they may not be able to find an occupation that suits them well and their qualifications; nevertheless, a considerable number of people agree with it.
The article found that the phenomenon of immigration has a largely negative effect on the wage distribution among native workers that are located at the lower end of the scale. Indeed, according to the data, they are largely pushed away by the immigrants, so the wages of the native people in this sector gradually decrease. However, the author also found a surprising fact: while the lower end of the scale tends to feature a decrease in the distribution of wages among native workers, the upper part of the scale features an increase in wages. There is no doubt in the fact that this is a rather important finding since it shows that the effects of immigration in terms of economic influence are not strictly negative.

This also has additional interesting implications for the development of the correct understanding of immigration as a social phenomenon. Thus, studies like the one in question can shed light on the concentration of immigrants and predict future changes in the population. Thus, it was proved by evidence that those who come from foreign countries primarily concentrate in the lower sector of the distribution of wages. What is more important is that there is one more interesting implication about immigrants and their effect on the economy. Thus, the authors suggest that the above-mentioned increase in wages in the upper sector may not be increased by the traditional immigrant surplus theory. According to them, originally there is a mismatch between the job occupied and the proficiency of the native worker which is balanced by the fact that the immigrants push the latter away and are forced to find a better job. Nevertheless, the downgrading of the skills of the immigrants still exists which may be regarded to hurt them in the long run. Read More