Employment, wage structure, and the economic cycle: differences between immigrants and natives in Germany and the UK

Differences in the cyclical pattern of employment and wages of immigrants relative to natives have largely gone unnoticed in the migration literature. In this paper we show that immigrants and natives react differently to the economic cycle. Based on over two decades of micro data, our investigation is for two of the largest immigrant receiving countries in Europe which at the same time are characterised by different immigrant populations as well as different economic cycles, Germany and the UK. Understanding the magnitude, nature and possible causes of differences in responses is relevant for assessing the economic performance of immigrant communities over time. We show that there are substantial differences in cyclical responses between immigrants and natives. Our analysis illustrates the magnitude of these differences, while distinguishing between different groups of immigrants. Differences in responses may be due to differences in the skill distribution between immigrant groups and natives, or differences in demand for immigrants and natives of the same skills due to differential allocation of immigrants and natives across industries and regions. We demonstrate that substantial differences in cyclical patterns remain, even within narrowly defined groups. Finally, we estimate a more structural factor type model that, using regional variation in economic conditions, separates responses to economic shocks from a secular trend and allows us to obtain a summary measure for these differences within education groups

How Do Industries and Firms Respond to Changes in Local Labor Supply?

This paper analyzes how changes in the skill mix of local labor supply are absorbed by the economy, distinguishing between three adjustment mechanisms: wages, expansion in size of those production units using the more abundant skill group more intensively, and more intensive use of the more abundant skill group within production units. We contribute to the literature by analyzing these adjustments on the firm rather than industry level, using German administrative data. We show that most adjustments occur within firms through changes in relative factor intensities and that firms entering and exiting the market are an important additional absorption mechanis

Referral-based Job Search Networks

This article derives novel testable implications of referral-based job search networks in which employees provide employers with information about potential new hires that they otherwise would not have. Using comprehensive matched employer–employee data covering the entire workforce in one large metropolitan labour market combined with unique survey data linked to administrative records, we provide evidence that workers earn higher wages and are less inclined to leave their firms if they have obtained their job through a referral. These effects are particularly strong at the beginning of the employment relationship and decline with tenure in the firm, suggesting that firms and workers learn about workers' productivity over time. Overall, our findings imply that job search networks help to reduce informational deficiencies in the labour market and lead to productivity gains for workers and firms

Endocrine, cardiovascular, and behavioral responses to clonidine in patients with panic disorder

We examines adrenergic regulation in patients with panic disorder by challenging 10 patients and 14 age-matched and sex-matched controls with intravenous infusions of clonidine hydrochloride (2 [mu]g/kg), an alpha2-adrenoreceptor agonist. Growth hormone, 3-methoxy-4-hydroxyphenylglycol (MHPG), blood pressure, heart rate, and behavioral (anxiety, sedation) responses were monitored. The data replicated the previously reported finding of blunted growth hormone (GH) responses to clonidine in patients with panic disorder. Reported abnormalities in MHPG, cardiovascular, and behavioral responses of panic patients to clonidine infusion were not replicated. The robustly blunted GH response to clonidine in panic patients supports the adrenergic dysregulation hypothesis of panic disorder, but alternative interpretations of this finding are available and further study is needed.Peer Reviewedhttp://deepblue.lib.umich.edu/bitstream/2027.42/29953/1/0000313.pd

Alpha2-adrenoceptor status in obsessive-compulsive disorder

Ten patients with obsessive-compulsive disorder (OCD) and 13 normal control subjects received intravenous infusions of 2 x 10-6 g/kg of clonidine and normal saline on separate days. Responses to the drug relating to plasma growth hormone (GH), 3-methoxy-4-hydroxyphenylglycol (MHPG), heart rate, blood pressure, and several symptoms were determined. Additionally, platelet alpha2-adrenoceptor binding was measured in most of the subjects. GH, MHPG, blood pressure, and heart rate responses to clonidine did not differ between groups. As expected, patients reported more symptoms than normal subjects, and clonidine was sedating for both groups. Patients did not differ from normal subjects in the symptom response to clonidine. The maximum number of binding sites (Bmax) for tritiated clonidine was significantly greater in OCD patients than in normals. This pattern of alpha2-adrenoceptor status is different than the patterns in major depression and panic anxiety.Peer Reviewedhttp://deepblue.lib.umich.edu/bitstream/2027.42/28569/1/0000372.pd

Determinants and consequences of international migration

This chapter provides a simple overview of the canonical model of international migration, discusses the consequences of migration on both sending and receiving countries and draws some considerations on future research prospects for the international migration literature