The Economics of Immigration 2nd Edition by Cynthia Bansak

Exercise 9

Using Table 9.2, explain the trends in wages and income inequality (as measured by the increase in the variance of log wages) in the United States between 1980 and 2010. What do you observe in the data for immigrants and natives? What are some of the reasons for the changes in U.S. income inequality during this period? How could increased immigration affect income inequality in the destination country and in the home country?