This would seem to be an important finding! And it is very much in the spirit of what Milton Friedman once said about immigration and welfare state:

Why is it that free immigration was a good thing before 1914 and free immigration is a bad thing today? Well, there is a sense in which that answer is right. There’s a sense in which free immigration, in the same sense as we had it before 1914 is not possible today. Why not?

Because it is one thing to have free immigration to jobs. It is another thing to have free immigration to welfare. And you cannot have both. If you have a welfare state, if you have a state in which every resident is promises a certain minimal level of income, or a minimum level of subsistence, regardless of whether he works or not, produces it or not. Then it really is an impossible thing.

Well, not impossible. But a stingier welfare state does, apparently, help the absorption process, according to this study. Also: the tiny gains from immigration would also suggest more attention needs to paid to composition.

Follow James Pethokoukis on Twitter at @JimPethokoukis, and AEIdeas at @AEIdeas.