Labour Market and Immigration Nexus in V4 countries: Using Panel Data Analysis for the Period of 2000-2020

Abstract

Immigration and its effects have been a heating topic among V4 countries after the 2014 migration crisis. Hence the current study is interested to study the relationship between unemployment and immigration in the case of V4 countries. Accordingly, it covers 20 years for the period of 2000 to 2021. Using secondary dynamic panel data and applying fixed effect with Driscoll and Kraay standard errors. The result of this paper indicates a positive and significant effect of immigration on unemployment. Policy recommendation includes immigration integration policy and prioritise economic growth, inflation, labour movement free movement within EU and development policies while incorporating immigrant as factor to propel the growth in the labour-intensive industry.

The Impact of Corruption on Migration: Evidence from the Western Balkans

“…Several studies have documented the positive effects of international migration on receiving countries. Migrants contribute to the labour force and can fill niches in both fast-growing and declining industry sectors (Hooper, 2019;Přívara et al, 2023). A higher number of immigrants can increase labour market flexibility and improve the ability of the economic system to absorb shocks (Røed and Schøne, 2012;Balch and Scott, 2011).…”