Why is the payoff to schooling smaller for immigrants?

To answer the question, this paper uses the Over-Required-Under Education technique, a newdecomposition methodology and data on adult men from the 2000 US Census. Using the 510 three-digitoccupational categories, similar patterns emerge whether the mean or mode of education in the occupation is used...

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Main Authors: Chiswick, B., Miller, Paul
Format: Journal Article
Published: Elsevier BV * North-Holland 2008
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/6977
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author Chiswick, B.
Miller, Paul
author_facet Chiswick, B.
Miller, Paul
author_sort Chiswick, B.
building Curtin Institutional Repository
collection Online Access
description To answer the question, this paper uses the Over-Required-Under Education technique, a newdecomposition methodology and data on adult men from the 2000 US Census. Using the 510 three-digitoccupational categories, similar patterns emerge whether the mean or mode of education in the occupation is used as the typical (required) level. The partial effect of the occupation's typical schooling level is the same for immigrants and natives. About two thirds of the smaller effect of schooling on earnings is attributable to differences by nativity in the payoffs to over/under education. The remainder is largely due to the different distributions by nativity of over/under education. Favorable immigrant selectivity, especially among the least skilled, and to a lesser extent, limited transferability of foreign schooling, is largely responsible for these patterns. Avariety of tests of robustness are performed, including separate analyses for child and adult immigrants.
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spelling curtin-20.500.11937-69772019-02-19T04:26:59Z Why is the payoff to schooling smaller for immigrants? Chiswick, B. Miller, Paul Rates of return Schooling Immigrants Occupations Selectivity Earnings To answer the question, this paper uses the Over-Required-Under Education technique, a newdecomposition methodology and data on adult men from the 2000 US Census. Using the 510 three-digitoccupational categories, similar patterns emerge whether the mean or mode of education in the occupation is used as the typical (required) level. The partial effect of the occupation's typical schooling level is the same for immigrants and natives. About two thirds of the smaller effect of schooling on earnings is attributable to differences by nativity in the payoffs to over/under education. The remainder is largely due to the different distributions by nativity of over/under education. Favorable immigrant selectivity, especially among the least skilled, and to a lesser extent, limited transferability of foreign schooling, is largely responsible for these patterns. Avariety of tests of robustness are performed, including separate analyses for child and adult immigrants. 2008 Journal Article http://hdl.handle.net/20.500.11937/6977 10.1016/j.labeco.2008.01.001 Elsevier BV * North-Holland fulltext
spellingShingle Rates of return
Schooling
Immigrants
Occupations
Selectivity
Earnings
Chiswick, B.
Miller, Paul
Why is the payoff to schooling smaller for immigrants?
title Why is the payoff to schooling smaller for immigrants?
title_full Why is the payoff to schooling smaller for immigrants?
title_fullStr Why is the payoff to schooling smaller for immigrants?
title_full_unstemmed Why is the payoff to schooling smaller for immigrants?
title_short Why is the payoff to schooling smaller for immigrants?
title_sort why is the payoff to schooling smaller for immigrants?
topic Rates of return
Schooling
Immigrants
Occupations
Selectivity
Earnings
url http://hdl.handle.net/20.500.11937/6977