Research Journal of Economics

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Evidence from Brazil on the Enforcement of Labor Regulations and the Effects of Trade on Labor Markets

In this research, we look at how co-ethnic networks influence immigrants' economic performance. We find that immigrants in districts with greater co-ethnic networks are more likely to be employed soon after arrival, using longitudinal data from Germany and a wide set of fixed effects and pre-migration controls to address the possible endogen etic of initial location. After four years, this advantage decreases as migrants in regions with smaller co-ethnic networks catch up due to higher human capital investments. Lower-skilled immigrants, as well as refugees and ethnic Germans, appear to be more affected

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