ESTHER ARENAS-ARROYO
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Immigration Enforcement and the Hiring of Low-Skilled Labor
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with Catalina Amuedo-Dorantes and Bernhard Schmidpeter
AEA Papers and Proceedings, Vol.111, May 2021
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We examine how firms adjust their labor demand to immigration policy changes resulting from intensified interior immigration enforcement. Using the temporal and geographic variation in the adoption of such policies as a source of identification, we find that firms boost their demand for low-skilled foreign-born labor under the H-2B visa program as enforcement intensifies. Furthermore, firms' increased demand for guest workers is inversely related to natives' employment in occupations where most H-2B workers are hired; however, it does not seem to alter natives' wages or work hours, nor does it seem to redistribute native labor away from those occupations. 

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