Integration as a catalyst for assimilation
AbstractWe draw a distinction between the social integration and economic assimilation of migrants, and study an interaction between the two. We define social integration as blending into the host country’s society, and economic assimilation as acquisition of human capital that is specific to the host country’s labor market. We show that a non-integrated migrant finds it optimal to acquire a relatively limited quantity of human capital; with fellow migrants constituting his only comparison group, a non-integrated migrant does not have a relative-deprivation-based incentive to close the income gap with the natives. However, when a migrant is made to integrate, his social proximity to the natives exposes him to relative deprivation, which in turn prompts him to form more destination-specific human capital in order to increase his earnings and narrow the income gap with the natives. In this way, social integration becomes a catalyst for economic assimilation.
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Bibliographic InfoArticle provided by Elsevier in its journal International Review of Economics & Finance.
Volume (Year): 28 (2013)
Issue (Month): C ()
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Web page: http://www.elsevier.com/locate/inca/620165
Assimilation; Integration; Social proximity; Interpersonal comparisons; Human capital formation;
Other versions of this item:
- Stark, Oded & Jakubek, Marcin, 2013. "Integration as a catalyst for assimilation," University of Tuebingen Working Papers in Economics and Finance 59, University of Tuebingen, Faculty of Economics and Social Sciences.
- Stark, Oded & Jakubek, Marcin, 2013. "Integration as a catalyst for assimilation," Discussion Papers 155148, University of Bonn, Center for Development Research (ZEF).
- D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
- F22 - International Economics - - International Factor Movements and International Business - - - International Migration
- J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
- Z10 - Other Special Topics - - Cultural Economics - - - General
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