HW7 - University of Illinois at Urbana-Champaign Professor...

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University of Illinois at Urbana-Champaign Professor Ron Laschever, ECON 440, Spring 2010 1 Problem set #7 (and last) Due at the start of class on April 29 1. On April 20, 1980, Fidel Castro declared that any Cubans wishing to emigrate to the U.S. were free to leave from the Port of Mariel. From May to September 1980, 125,000 immigrants arrived in Miami on privately chartered boats. This large influx of immigrants became known as the Mariel Boatlift. Fifty percent of these immigrants settled permanently in Miami. The result was a 7% increase in the labor force of Miami and a 20% increases in the number of Cuban workers in Miami. This wave of immigrants included a relatively high fraction of less-skilled workers and a high fraction with low English ability. a. Show how the influx of immigrants to Miami would be expected to affect the employment and wages of Native low wage workers in Miami. (Assume all low skill workers are perfect substitutes and include a graph in your answer.) A study by Card (1989) finds that there was little change in employment and wages of Native
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This note was uploaded on 10/24/2010 for the course ECON 440 taught by Professor Staff during the Spring '08 term at University of Illinois, Urbana Champaign.

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HW7 - University of Illinois at Urbana-Champaign Professor...

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