Immigration patterns in Portugal

: an analysis of the effect of immigration on unemployment and wages among different demographic groups

Abstract

This paper gives an overview of the demographic structures among the native and immigrant population in Portugal and how those structures may determine the effect of immigration on unemployment and wages. The analysis is based on data of the Portuguese Labour Force Survey, using the data sets of 1998-2010 and 2011-2019. It seems that immigrants in Portugal tend to show higher education levels than natives. Yet, immigrants seem to be more prone to be employed in professions not requiring skills compared to natives. This indicates a mismatch between education and workplace of immigrants in Portugal. On an individual level, being an immigrant seems to have at most a small positive effect on the employment probability and no effect on wages. On a regional level, immigration tends to have no significant effect on overall unemployment rates or unemployment among natives. Overall wages and wages of natives do not seem to be significantly affected either. The analysis is conducted using a ‘spatial correlations’ approach. Demographic structures among the native and immigrant population may be determining factors of the effect immigration has on labour market outcomes in the receiving country. Consequently, the analysis additionally focuses on the effect of increased immigration on different demographic subgroups.

Date of Award	28 Apr 2022
Original language	English
Awarding Institution	Universidade Católica Portuguesa
Supervisor	Hugo Reis (Supervisor)