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The effect of deficiency at English on female immigrants’ wage in the UK: correcting for measurement error, endogenous treatment, and sample selection bias

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  • Alfonso Miranda
  • Yu Zhu

Abstract

We investigate how English as Additional Language (EAL) affects the wage gap among foreign-born female immigrants in the UK. To deal with endogeneity and measurement error of EAL and self-selection into employment we implement a 3-step estimation (TSE) procedure suggested by Wooldridge, which deliver consistent and asymptotically normal estimators. We find a large and statistically significant causal effect of EAL on the wage gap.

Suggested Citation

  • Alfonso Miranda & Yu Zhu, 2021. "The effect of deficiency at English on female immigrants’ wage in the UK: correcting for measurement error, endogenous treatment, and sample selection bias," Applied Economics Letters, Taylor & Francis Journals, vol. 28(5), pages 349-353, March.
    • Handle: RePEc:taf:apeclt:v:28:y:2021:i:5:p:349-353
    DOI: 10.1080/13504851.2020.1753873
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    Cited by:

    1. Zheng, Yeqiu & Gu, Yan & Backus, Albert & van Soest, Arthur, 2023. "The value of host-country language: The effect of Dutch language proficiency on immigrants’ income, savings and financial wealth in the Netherlands," OSF Preprints qnfuv, Center for Open Science.

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