Earnings Prospects for People with Migration Background in Germany


Aldashev, Alisher ; Gernandt, Johannes ; Thomsen, Stephan L.


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URL: http://ub-madoc.bib.uni-mannheim.de/1511
URN: urn:nbn:de:bsz:180-madoc-15113
Document Type: Working paper
Year of publication: 2007
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: J15 I12 J61 ,
Subject headings (SWD): Sozioökonomisches Panel , Einwanderer , Bevölkerungsökonomie , Einkommensverteilung , Bildung , Deutschland
Keywords (English): Migration background , earnings prospects , education , Germany
Abstract: Less than half of the people with migration background living in Germany possess foreign citizenship. Hence, using citizenship to analyze economic issues of immigration may be problematic for two reasons. On the one hand, a quite substantial share of persons with migration background is neglected in the group of interest, and, on the other hand, the reference group (native Germans) may be contaminated by effects from naturalized immigrants. This paper utilizes a wider definition covering all persons with migration background to analyze the earnings prospects. To shed light on differences to the common use of citizenship, estimates are presented in comparison to foreigner and German citizens. The results show that persons with migration background have similar earnings prospects to foreigners. Moreover, earnings prospects for native Germans do not differ much from those of German citizenship. Therefore, using citizenship to approximate natives and non-natives when analyzing earnings issues seems to be reasonable. A second question of the paper is whether degrees obtained in Germany lead to better earnings prospects compared to degrees obtained abroad for persons with migration background. Independently of gender and skill level, the estimates affirm higher earnings to educational attainment in Germany.
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Aldashev, Alisher ; Gernandt, Johannes ; Thomsen, Stephan L. (2007) Earnings Prospects for People with Migration Background in Germany. Open Access [Working paper]
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