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Immigration, Search, and Loss of Skill

Yoram Weiss, Robert Sauer and Menachem Gotlibovski
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Menachem Gotlibovski: Academic College of Tel-Aviv-Yaffo

Journal of Labor Economics, 2003, vol. 21, issue 3, 557-592

Abstract: This article develops and estimates an on-the-job search model of the entry of highly skilled immigrants from the former Soviet Union into the Israeli labor market. The estimated parameters of the model, together with information on the wages of immigrants from earlier waves, imply that, on average, immigrants can expect lifetime earnings to fall short of the lifetime earnings of comparable natives by 57%. Of this figure, 14 percentage points reflect frictions associated with nonemployment and job distribution mismatch, and 43 percentage points reflect the gradual adaptation of imported schooling and experience to the local labor market.

Date: 2003
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Related works:
Working Paper: Immigration, Search and Loss of Skill (1999) Downloads
Working Paper: Immigration, Search and Lost of Skill (1999)
Working Paper: Immigration, Search and Loss of Kill (1995)
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