Venezuelan Migration in Peru: Short-term Adjustments in the Labor Market
Date issued
Aug 2020
Subject
Labor Supply;
Employment Rate;
Labor Market;
Informal Labor;
Migration and Migrant
JEL code
J24 - Human Capital • Skills • Occupational Choice • Labor Productivity;
J21 - Labor Force and Employment, Size, and Structure;
J61 - Geographic Labor Mobility • Immigrant Workers;
F22 - International Migration;
R23 - Regional Migration • Regional Labor Markets • Population • Neighborhood Characteristics;
J46 - Informal Labor Markets;
J30 - Wages, Compensation, and Labor Costs: General
Country
Peru;
Venezuela
Category
Working Papers
The Venezuelan migration to Peru has been growing at fast speed since 2016 reaching a peak in 2018. Using a panel that allows us to control for individual effects, we study the heterogeneous short-term responses to the inflow of Venezuelan migrants in terms of employment, informality and earnings of Peruvian workers during 2008-2018. We find that a 1 pp increase in the share of Venezuelan migrants in Peru is associated with: a) a 1.5 pp increase in the probability of being employed for workers with tertiary education in the non-service sector; b) a 1 pp decrease in the probability of having an informal job for workers with tertiary education in the non-service sector; and c) a 3.2 percent decrease in real monthly earnings for workers with secondary education and a formal job in the service sector.
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