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Multiple language usage and earnings in Western Europe

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  • Donald R. Williams

Abstract

Purpose - The purpose of this paper is to estimate the return to multiple language usage in the workplace. Design/methodology/approach - This article aims to estimate the effect that using an additional language at work has on earnings for a sample of workers in the European Community Household Panel survey. OLS and fixed‐effects specifications of log‐earnings regressions are estimated by country with controls for standard human capital, job, and personal characteristics. Findings: - The results indicate that the use of a second language in the workplace raises earnings by 3 to 5 percent in several Western European nations, with even greater returns found in some. The estimated returns are found to be correlated with the extent of tourism in the country, but not other measures of trade. Originality/value - This is the first paper to estimate returns to usage of an additional language in the workplace across the European Union, and contributes to our knowledge of the benefits of multi‐lingualism.

Suggested Citation

  • Donald R. Williams, 2011. "Multiple language usage and earnings in Western Europe," International Journal of Manpower, Emerald Group Publishing Limited, vol. 32(4), pages 372-393, July.
    • Handle: RePEc:eme:ijmpps:v:32:y:2011:i:4:p:372-393
    DOI: 10.1108/01437721111148513
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    Cited by:

    1. Wang, Zhiling & de Graaff, Thomas & Nijkamp, Peter, 2017. "Look Who’s Talking: On the Heterogeneous Returns to Foreign Language Use at Work among Natives and Migrants in Europe," GLO Discussion Paper Series 104, Global Labor Organization (GLO).
    2. Brindusa Anghel & Antonio Cabrales & Jesus M. Carro, 2016. "Evaluating A Bilingual Education Program In Spain: The Impact Beyond Foreign Language Learning," Economic Inquiry, Western Economic Association International, vol. 54(2), pages 1202-1223, April.
    3. Nocito, Samuel, 2021. "The effect of a university degree in english on international labor mobility," Labour Economics, Elsevier, vol. 68(C).
    4. Aldashev, Alisher & Danzer, Alexander M., 2014. "Economic Returns to Speaking the Right Language(s)? Evidence from Kazakhstan's Shift in State Language and Language of Instruction," IZA Discussion Papers 8624, Institute of Labor Economics (IZA).
    5. Di Pietro Giorgio & European Commission & IZA, 2022. "Studying abroad and earnings: A meta‐analysis," Journal of Economic Surveys, Wiley Blackwell, vol. 36(4), pages 1096-1129, September.
    6. Hahm, Sabrina & Gazzola, Michele, 2022. "The Value of Foreign Language Skills in the German Labor Market," Labour Economics, Elsevier, vol. 76(C).
    7. Brindusa Anghel & Antonio Cabrales & Jesus M. Carro, 2016. "Evaluating A Bilingual Education Program In Spain: The Impact Beyond Foreign Language Learning," Economic Inquiry, Western Economic Association International, vol. 54(2), pages 1202-1223, April.
    8. Dovì, Max-Sebastian, 2019. "Does higher language proficiency decrease the probability of unemployment? Evidence from China," China Economic Review, Elsevier, vol. 54(C), pages 1-11.
    9. Bia, Michela & Flores-Lagunes, Alfonso & Mercatanti, Andrea, 2018. "Evaluation of Language Training Programs in Luxembourg using Principal Stratification," GLO Discussion Paper Series 289, Global Labor Organization (GLO).
    10. Alejandro Donado, 2017. "Foreign Languages and their Impact on Unemployment," LABOUR, CEIS, vol. 31(3), pages 265-287, September.
    11. Wang, Haining & Smyth, Russell & Cheng, Zhiming, 2017. "The economic returns to proficiency in English in China," China Economic Review, Elsevier, vol. 43(C), pages 91-104.
    12. Masahiro Tokunaga & Ravshan Shomurodov & Okiliddin Alimov, 2021. "A Conflict of State-led Initiative and Economic Rationality: Focusing on the State Language and Lingua Franca in Uzbekistan," KIER Working Papers 1068, Kyoto University, Institute of Economic Research.
    13. Isphording, Ingo E., 2014. "Language and Labor Market Success," IZA Discussion Papers 8572, Institute of Labor Economics (IZA).
    14. Mauro Mediavilla & María-Jesús Mancebón & José-María Gómez-Sancho & Luis Pires Jiménez, 2019. "Bilingual education and school choice: a case study of public secondary schools in the Spanish region of Madrid," Working Papers 2019/01, Institut d'Economia de Barcelona (IEB).
    15. Zhiling Wang & Thomas de Graaff & Peter Nijkamp, 2018. "Barriers of Culture, Networks, and Language in International Migration: A Review," REGION, European Regional Science Association, vol. 5, pages 73-89.
    16. Selda Dudu, 2022. "Employability and Labor Income of Immigrants in the US: A Special Focus on the Roles of Language and Home Country Income Level," World Journal of Applied Economics, WERI-World Economic Research Institute, vol. 8(1), pages 15-34, June.

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