September 11th and the Earnings of Muslims in Germany – The Moderating Role of Education and Firm Size

40 Pages Posted: 27 Mar 2010

See all articles by Thomas Cornelissen

Thomas Cornelissen

University College London

Uwe Jirjahn

University of Trier - Faculty of Economics

Date Written: March 1, 2010

Abstract

While available evidence suggests that the events of September 11th negatively influenced the relative earnings of employees with Arab background in the US, it is not clear that they had similar effects in other countries. Our study for Germany provides evidence that the events also affected the relative earnings of Muslims outside the US. However, the results show that there was no uniform effect on all types of Muslims across all types of firms. Accounting for moderating factors, a significantly negative effect can only be found for low-skilled Muslims employed in small- and medium-sized firms. This conforms to theoretical expectations. Moreover, we demonstrate that defining appropriate treatment and control groups is crucial for identifying the effects.

Keywords: Muslims, September 11th, Wage Discrimination, Education, Firm Size

JEL Classification: J71, J31, J23

Suggested Citation

Cornelissen, Thomas and Jirjahn, Uwe, September 11th and the Earnings of Muslims in Germany – The Moderating Role of Education and Firm Size (March 1, 2010). SOEPpaper No. 278. Available at SSRN: https://ssrn.com/abstract=1577566 or http://dx.doi.org/10.2139/ssrn.1577566

Thomas Cornelissen (Contact Author)

University College London ( email )

Gower Street
London, WC1E 6BT
United Kingdom

Uwe Jirjahn

University of Trier - Faculty of Economics ( email )

Trier, 54286
Germany

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