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Re-Examining the Earnings Assimilation of Immigrants

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Studies on the earnings assimilation of immigrants have traditionally focused exclusively on immigrants in employment. However, given evidence of immigrants' difficulties in entering and remaining in the labor market, restricting the population to those in employment may entail a selection bias. In addition, the primary variable of interest in such studies is often the duration of residence or the years since migration (YSM), which is interpreted as a proxy for potential labor market experience in the host country. The appropriateness of that proxy will, however, also depend on the extent to which immigrants are able to quickly enter and remain in the labor market. This study thus re-examines evidence on the earnings assimilation of immigrants in light of selection into the labor market and with better information on actual labor market experience in the host country. The findings suggest that a major revision of previous conclusions about the earnings assimilation of immigrants in Norway may be in order.

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  • Taryn Ann Galloway, 2008. "Re-Examining the Earnings Assimilation of Immigrants," Discussion Papers 570, Statistics Norway, Research Department.
    • Handle: RePEc:ssb:dispap:570
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    1. Taryn Ann Galloway & Rolf Aaberge, 2005. "Assimilation effects on poverty among immigrants in Norway," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(4), pages 691-718, November.
    2. Blume Jensen, Kræn & Gustafsson, Björn Anders & Pedersen, Peder J. & Verner, Mette, 2005. "At the Lower End of the Table: Determinants of Poverty among Immigrants to Denmark and Sweden," IZA Discussion Papers 1551, Institute of Labor Economics (IZA).
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    6. Erling Barth & Bernt Bratsberg & Oddbjørn Raaum, 2004. "Identifying Earnings Assimilation of Immigrants under Changing Macroeconomic Conditions," Scandinavian Journal of Economics, Wiley Blackwell, vol. 106(1), pages 1-22, March.
    7. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 31(3), pages 129-137.
    8. George J. Borjas, 2021. "Assimilation, Changes in Cohort Quality, and the Earnings of Immigrants," World Scientific Book Chapters, in: Foundational Essays in Immigration Economics, chapter 2, pages 3-29, World Scientific Publishing Co. Pte. Ltd..
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    14. Taryn Ann Galloway, 2006. "The Labor Market Integration of Immigrant Men and Women," Discussion Papers 483, Statistics Norway, Research Department.
    15. Bernt Bratsberg & Erling Barth & Oddbjørn Raaum, 2006. "Local Unemployment and the Relative Wages of Immigrants: Evidence from the Current Population Surveys," The Review of Economics and Statistics, MIT Press, vol. 88(2), pages 243-263, May.
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    Cited by:

    1. Esteban Sanromà & Raúl Ramos & Hipólito Simón, 2009. "Immigrant wages in the Spanish labour market: does the origin of human capital matter?," Working Papers 2009/8, Institut d'Economia de Barcelona (IEB).

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    Keywords

    Immigration; assimilation; employment; earnings;
    All these keywords.

    JEL classification:

    • J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General

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