The Self-Employment Effects of Secure Communities in the United States
AEA Papers and Proceedings
vol. 113,
May 2023
(pp. 361-66)
Abstract
Illegal immigration has increased substantially in recent years. In this paper, we analyze how Secure Communities (SC), a major internal immigration enforcement program, affected self-employment participation and income in the United States between 2008 and 2013. Following a difference-in-difference approach, we find that the staggered implementation of the SC reduced self-employment rates across the country, but not substantially. However, the policy had a significant negative impact on the income of the self-employed, particularly affecting White and male individuals and workers in the manufacturing and service sectors. Overall, our results highlight the unintended consequences of SC on entrepreneurship in the United States.Citation
García, Raffi E., and Alejandro Gutiérrez-Li. 2023. "The Self-Employment Effects of Secure Communities in the United States." AEA Papers and Proceedings, 113: 361-66. DOI: 10.1257/pandp.20231126Additional Materials
JEL Classification
- J15 Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
- J18 Demographic Economics: Public Policy
- J23 Labor Demand
- J31 Wage Level and Structure; Wage Differentials
- K37 Immigration Law
- L26 Entrepreneurship