Does Immigration Policy Affect the Education-Occupation Mismatch? Evidence from Australia

31 Pages Posted: 20 Oct 2012

See all articles by Massimiliano Tani

Massimiliano Tani

University of New South Wales - Australian Defence Force Academy; IZA Institute of Labor Economics

Abstract

This paper analyses the impact of a change in Australia's immigration policy, introduced on 1st July 1999, on migrants' probability of being over-/under-educated or correctly matched. The policy change consists of stricter entry requirements about age, language ability, education, and work experience. The results indicate that those who entered under more stringent conditions – the second cohort – have a lower probability to be overeducated and a correspondingly higher probability of being better matched than those in the first cohort. The policy change appears to have reduced the incidence of over-education among women, enhanced the relevance of being educated in Australia to be correctly matched, and attracted a higher proportion of immigrants that were already under-utilised (or over-achieving) in their home countries. Overall, the policy appears to have brought immigrants that reduced the over-under-education of Australia's labour market.

Keywords: immigration policy, over- and under-education, migration

JEL Classification: C34, J24, J61

Suggested Citation

Tani, Massimiliano, Does Immigration Policy Affect the Education-Occupation Mismatch? Evidence from Australia. IZA Discussion Paper No. 6937, Available at SSRN: https://ssrn.com/abstract=2164666

Massimiliano Tani (Contact Author)

University of New South Wales - Australian Defence Force Academy ( email )

Sydney, NSW 2052
Australia
+612 6268 8512 (Phone)
+612 6248 8450 (Fax)

HOME PAGE: http://www.unsw.adfa.edu.au/sbus/staff_cvs/about_max_t.html

IZA Institute of Labor Economics

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