Ethnic Enclaves and Immigrant Labour Market Outcomes: Quasi-Experimental Evidence

Anna Damm ()

No 06-4, Working Papers from University of Aarhus, Aarhus School of Business, Department of Economics

Abstract: This study investigates empirically how residence in ethnic enclaves affects labour market

outcomes of refugees. Self-selection into ethnic enclaves in terms of unobservable characteristics

is taken into account by exploitation of a Danish spatial dispersal policy which randomly

disperses new refugees across locations conditional on six individual-specific characteristics.

The results show that refugees with unfavourable unobserved characteristics are found to

self-select into ethnic enclaves. Furthermore, taking account of negative self-selection, a relative

standard deviation increase in ethnic group size on average increases the employment probability

of refugees by 4 percentage points and earnings by 21 percent. I argue that in case of

heterogeneous treatment effects, the estimated effects are local average treatment effects

Keywords: Ethnic Enclaves; Employment; Earnings; LATE (search for similar items in EconPapers)
JEL-codes: C35 J15 J64 Z13 (search for similar items in EconPapers)
Pages: 54 pages
Date: 2006-09-27
New Economics Papers: this item is included in nep-lab and nep-ure
Note: Published as “Ethnic Enclaves and Immigrant Labor Market Outcomes: Quasi-Experimental Evidence”. Journal of Labor Economics 2009, 27(2): 281-314.
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (10)

Downloads: (external link)
http://www.hha.dk/nat/wper/06-4_apd.pdf (application/pdf)

Related works:
Journal Article: Ethnic Enclaves and Immigrant Labor Market Outcomes: Quasi-Experimental Evidence (2009)
Working Paper: Ethnic Enclaves and Immigrant Labour Market Outcomes: Quasi-Experimental Evidence (2006)
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:aareco:2006_004

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