Borjas (2003) criticize this approach. He explains that the problem of these studies is
that they ignore “the strong economics currents that tend to equalize economic
conditions across cities and regions”1. He proposes a new approach based on the Human
Capital theory. He argues that: “by paying closer attention to the characteristics that
define a skill group one can make substantial progress in determining whether
immigration influences the employment and earnings opportunities of native workers”2.
Borjas (2003) used an approach focusing on correlations across skill groups (using
education and labor market as indicators of skills) and with this approach, Borjas (2003)
found that a 10% increase in a skill group lowers that wage of that group by 2 to 3%.
Nevertheless, during the last decade, a big number of immigrants have arrived to
Europe; As a result, many European countries have received immigrants coming from all
over the world, (especially from North Africa for France and Spain). Thus, the need of
studies analyzing the impact of immigration on wages of natives’ workers in many
European countries has notably increased.
The empirical analysis uses the data of the annual “Enquête Emploi” conducted in 2012
by l’INSEE (Institut National de la Statistique ET des Etudes Economiques).