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innovators, which might magnify the externality due to their own innovation. substitute for natives, the smaller the impact immigrants will have on the wages of natives with the identical observable skills. Even the extremely disaggregated approach proposed by Borjas includes some simplifying assumptions. Recent work suggests that outcomes using the structural strategy are delicate to these assumptions. We illustrate this point with findings from Ottaviano and Peri , a research of theThe hottest to my british wife i loved you then i love you still mug relative wage effects of immigration over the period based on Census Bureau information (from the Decennial Census and the American Community Survey ), which used the same broad framework as Borjas however modified some of the assumptions. A key distinction is that Ottaviano and Peri make totally different assumptions than Borjas about the provide of capital. Whereas Borjas assumed that capital provide is inelastic , Ottaviano and Peri assumed that it’s completely elastic. The misalignment of the study results described above suggests that variations within the implementation of a strategy can lead to fairly totally different estimates of the influence of immigration. Consideration of those research additionally underlines that what occurred to the wage construction in Miami was a very unusual occasion—one that can be characterized as a real short-run shock occurring in a compressed time period, versus more-anticipated immigrant flows that typically happen over longer time durations.
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