Intergenerational Transmissions and the School-to-Work Transition of Second-Generation Immigrants

Abstract

We analyze the extent of intergenerational transmission through parental capital, ethnic capital and neighborhood effects on several aspects of the school-to-work transition of second generation immigrants and young ethnic Danes. The main findings are that parental capital has strong positive effects on the probability of completing a qualifying education and on the entry into the labor market, but it has a much smaller impact on the duration of the first employment spell and on the wage level. Growing up in neighborhoods with a high concentration of immigrants is associated with negative labor market prospects both for young natives and second generation immigrants.

Keywords: School-to-work Transition, Second Generation Immigrants, Intergenerational Transmission, Parental Capital, Ethnic Capital, Neighborhood Effects

JEL Classification: J61, J71