The impact of immigration on unemployment and wages in post-soviet Russia

Irina Malaha, Institute for International Economic and Political Studies Russian Academy of Siences

The last decade of the XX century economic and political history in Russia is a stunning period from different points of view including external migration. During that period there were changes in migration pattern reflecting completely different migration incentives and bring with it specific impact on the Russian society and development prospects. The research is to seek to infer labour market effects from special correlation between immigrant inflow and labour market outcomes – unemployment rate and earnings. Pilot panel data analysis and estimations carried out for the period 1993-2002 showed rather weak interrelation between unemployment rate and net migration. Insofar pilot panel data analysis revealed negative association between immigration and nominal wage. These results are consistent with researches carried out in the USA, the UK, Germany and some other countries. So, the economy-wide findings for Russia allow to disproving alarming statements that immigrants take jobs from residents.