Impact of Immigration on Inhabitants' Educational Investments

We examine whether immigration into the labour market of the building and construction (BaC) industry affects enrolment in vocational programmes that teach the skills required in this industry. Results suggest that a higher supply of immigrant labour is associated with lower enrolment into programmes teaching BaC skills. The strength of this relationship increases according to the grades that the students achieved in lower secondary school. This finding indicates that the negative effect of immigration on educational recruitment is mainly caused by students who turn away from these programmes, rather than a reduction in apprenticeship positions offered by employers.