Earnings and Occupational Attainment: Immigrants and the Native Born

Barry Chiswick and Paul Miller

No 07-08, Economics Discussion / Working Papers from The University of Western Australia, Department of Economics

Abstract: This paper examines the determinants of occupational attainment and the impact of occupation on earnings. Results for both the native born and foreign born are presented, and these provide insights as to the earnings penalties associated with the lessthan- perfect international transferability of human capital skills. It shows that around 50 percent of the earnings gains associated with years of schooling derives from interoccupational mobility. When occupation is held constant, there is a large increase in the effect on earnings of pre-immigration labor market experience for the foreign born, but little change in either the payoff to labor market experience for the native born, or in the premium for post-arrival labor market experience for the foreign born. The estimates of the models of occupational attainment show that years of schooling, and, among the foreign born, proficiency in English, are the key factors determining access to high-paying occupations. Labor market experience has little effect on occupational outcomes among the native born. However, evaluated at 10 years, foreign labor market experience has a modest negative impact on current occupational status. Examination of this negative effect using quantile regression shows that it is concentrated among those in high status jobs.

Keywords: Immigrants; Occupation; Earnings (search for similar items in EconPapers)
JEL-codes: F22 J24 J31 J62 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2007
New Economics Papers: this item is included in nep-lab and nep-mig
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (13)

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Working Paper: Earnings and Occupational Attainment: Immigrants and the Native Born (2007)
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