The effect of social networks on migrants' labor market integration: a natural experiment

Klarita Gërxhani and Yuliya Kosyakova

No 202003, IAB-Discussion Paper from Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]

Abstract: "Empirically identifying the causal effect of social networks on migrants' economic prospects is a challenging task due to the non-random residential sorting of migrants into locations with greater opportunities for (previous) connections. Our study addresses this selection-bias issue by using a unique natural-experimental dataset of refugees and other migrants that were exogenously allocated to their first place of residence by German authorities. The empirical results reveal a positive causal effect of social networks on migrants' transition rate to the first job, but only if the networks are mobilized for the job search." (Author's abstract, IAB-Doku) ((en))

Keywords: Bundesrepublik Deutschland; ausländische Arbeitnehmer; Aussiedler; Auswirkungen; berufliche Integration; Einkommenseffekte; Einwanderer; Einwanderungspolitik; ethnische Gruppe; Geflüchtete; Juden; regionale Verteilung; IAB-SOEP-Migrationsstichprobe; soziales Netzwerk; Sozialkapital; Arbeitsuche; 2015-2015 (search for similar items in EconPapers)
JEL-codes: F22 J61 L14 R23 (search for similar items in EconPapers)
Pages: 35 pages
Date: 2020-01-20
New Economics Papers: this item is included in nep-mig, nep-net, nep-soc and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:iab:iabdpa:202003

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