Immigrant Wage and Employment Assimilation: A Comparison of Methods
13 Pages Posted: 30 Nov 2012
Date Written: November 1, 2012
We compare alternative methods for estimating immigrant wage and employment assimilation using unique panel data over 2001 - 2009 for a large, nationally-representative sample of immigrants. Previous assimilation estimates have been mainly based on crosssectional data and have therefore suffered from a range of potential biases. We find that a fixed-effects model generates estimated employment assimilation profiles that are flatter and significantly different to those produced by cross-sectional and synthetic cohort methods. However, there are no significant differences in the wage assimilation profiles across alternative methods.
Keywords: Immigration, immigrant assimilation, employment, wages, Australia
JEL Classification: J15, J61
Suggested Citation: Suggested Citation