Abstract: | ABSTRACT. This paper applies the production-theory approach to assess the impact on domestic wages and employment of immigration to the United States. Inputs are disaggregated between recent immigrants, non-recent immigrants, native workers, and capital. Census cross-sectional data for 1980 and for 123 metropolitan areas are used. Empirical estimates are reported for alternative functional forms with special attention devoted to required curvature conditions which have frequently been violated in previous work. Elasticity estimates are reported for alternative settings, including for the short run where we view domestic factor prices as given and the long run where we treat them as flexible. |