Does the Internet limit immigration?

This paper documents the effects of new communication technologies on immigrant socio-economic integration, geographic and occupational segregation, and network behavior. Combining data on home-country Internet expansion shocks with data on immigrants’ language skills, naturalization, location choice, and employment in the US, I find that home-country Internet slows immigrants’ socioeconomic integration. The result is driven by low-skilled and young immigrants. On the other hand, the Internet of the home country reduces the geographical isolation and division of labor with the national participants, and increases the welfare of the immigrants. Methodologically, I use data from the American Time Use Survey to show that the home country’s internet changes the network behavior of immigrants. I also examine the role of (i) return intentions, (ii) international calls, and (iii) Facebook use. The evidence is consistent with a simple Roy model, supplemented by a choice between destination and country of origin ties. Overall, this paper shows how new ICTs are changing the links between immigration, diversity, and social cohesion.

That comes from a labor market paper by Alexander Yarkin of Brown University.



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