Advances in Economics and Business Vol. 1(4), pp. 318 - 320
DOI: 10.13189/aeb.2013.010403
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How the Migrant Workers Affect Native Workers The Study of Basic Model


Yu-Cheng Lai *
Department of Finance, Shih Chien University Kaohsiung Campus, No. 200 University Rd, Neimen, Kaohsiung 845, Taiwan

ABSTRACT

The increased labor supply of migrant workers can make up labor shortage of host countries. Based on basic theoretic study, this paper tries to build a model to investigate the effect of rising number of unskilled migrant workers on different skilled workers. It indicates that both wages and employment for unskilled and skilled native workers will increase because the labor demand of native workers, if the effect of higher production (scale effect) larger than the effect of substitution between migrant and native workers. On the other hand, the migrant workers will have different effect on skilled and unskilled native workers.

KEYWORDS
Foreign Workers, Native workers, Employment, Wages

Cite This Paper in IEEE or APA Citation Styles
(a). IEEE Format:
[1] Yu-Cheng Lai , "How the Migrant Workers Affect Native Workers The Study of Basic Model," Advances in Economics and Business, Vol. 1, No. 4, pp. 318 - 320, 2013. DOI: 10.13189/aeb.2013.010403.

(b). APA Format:
Yu-Cheng Lai (2013). How the Migrant Workers Affect Native Workers The Study of Basic Model. Advances in Economics and Business, 1(4), 318 - 320. DOI: 10.13189/aeb.2013.010403.