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Estimating immigrant earnings profiles when migrations are temporary

Dustmann, C; Görlach, JS; (2016) Estimating immigrant earnings profiles when migrations are temporary. Labour Economics , 41 pp. 1-8. 10.1016/j.labeco.2016.05.023. Green open access

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Abstract

The assumption that all migrations are permanent, which pervaded the early microdata-based research on immigrant career profiles, is not supported by the empirical evidence. Rather, many – if not most – migrations appear to be temporary. In this paper, therefore, we illustrate the estimation challenges when migrations are temporary. As in an overwhelming share of the selective out-migration literature, our basic structure assumes that the process that determines out-migration is unrelated to other choices that affect wage growth, such as human capital investment or labour supply decisions, which greatly simplifies the analysis. When the choice of whether and when to out-migrate also affects decisions that determine wage growth, the problem becomes inherently dynamic and requires a more structural approach to estimation, which we briefly discuss.

Type: Article
Title: Estimating immigrant earnings profiles when migrations are temporary
Open access status: An open access version is available from UCL Discovery
DOI: 10.1016/j.labeco.2016.05.023
Publisher version: http://doi.org/10.1016/j.labeco.2016.05.023
Language: English
Additional information: © 2016 Elsevier B.V. All rights reserved. This manuscript version is made available under a Creative Commons Attribution Non-commercial Non-derivative 4.0 International license (CC BY-NC-ND 4.0). This license allows you to share, copy, distribute and transmit the work for personal and non-commercial use providing author and publisher attribution is clearly stated. Further details about CC BY licenses are available at https://creativecommons.org/licenses/. Access may be initially restricted by the publisher.
Keywords: Immigration; Return migration; Assimilation; Earnings profile; Selection
UCL classification: UCL
UCL > Provost and Vice Provost Offices
UCL > Provost and Vice Provost Offices > UCL SLASH
UCL > Provost and Vice Provost Offices > UCL SLASH > Faculty of S&HS
UCL > Provost and Vice Provost Offices > UCL SLASH > Faculty of S&HS > Dept of Economics
URI: https://discovery.ucl.ac.uk/id/eprint/1535670
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