The Complementarity of Language and Other Human Capital: Immigrant Earnings in Canada

36 Pages Posted: 31 Mar 2002

See all articles by Barry R. Chiswick

Barry R. Chiswick

University of Illinois at Chicago; IZA Institute of Labor Economics

Paul W. Miller

Curtin University of Technology - School of Economics and Finance; IZA Institute of Labor Economics; Curtin University - Centre for Research in Applied Economics

Date Written: March 2002

Abstract

This paper analyzes the effects of language practice on earnings among adult male immigrants in Canada using the 1991 Census. Earnings are shown to increase with schooling, pre-immigration experience and duration in Canada, as well as with proficiency in the official languages (English and French). Using selectivity correction techniques, it is shown that there is complementarity between language skills and both schooling and pre-immigration experience. That is, greater proficiency in the official languages enhances the effects on earnings of schooling and pre-immigration labor market experience. Language proficiency and post-migration experience appear to be substitutes, that is, those with greater proficiency have a smaller effect of time in Canada on earnings.

Keywords: Immigrants, Human Capital, Language Skills, Schooling, Earnings, Canada

JEL Classification: I21, J24, J31, J61

Suggested Citation

Chiswick, Barry R. and Miller, Paul W., The Complementarity of Language and Other Human Capital: Immigrant Earnings in Canada (March 2002). IZA Discussion Paper No. 451. Available at SSRN: https://ssrn.com/abstract=305370

Barry R. Chiswick (Contact Author)

University of Illinois at Chicago ( email )

601 S. Morgan Street, Room 2103UH
Chicago, IL 60607-7121
United States
312-996-2683 (Phone)
312-996-3344 (Fax)

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Paul W. Miller

Curtin University of Technology - School of Economics and Finance ( email )

GPO Box U1987
Perth WA 6845
Australia

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Curtin University - Centre for Research in Applied Economics ( email )

GPO Box U1987
Perth, Western Australia 6845
Australia

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