Understanding the Economic Integration of Immigrants: A Wage Decomposition of the Earnings Disparities between Native-Born Canadians and Recent Immigrant Cohorts
AbstractThis study assesses whether characteristics relating to ethnic identity and social inclusion influence the earnings of recent immigrants in Canada. Past research has revealed that relevant predictors of immigrant earnings include structural and demographic characteristics, educational credentials and employment-related characteristics. However, due to the unavailability of situational and agency variables in existing surveys, past research has generally been unable to account for the impact of such characteristics on the economic integration of immigrants. Drawing on data from Statistics Canada's Ethnic Diversity Survey, this paper builds on previous research by identifying the relative extent to which sociodemographic, educational and ethnic identity characteristics explain earnings differences between immigrants of two recent cohorts and native-born Canadians. The results indicate that immigrants are disadvantaged in the labor market in terms of characteristics relating to sociodemographics and ethnic identity, but are advantaged in terms of human capital.
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Bibliographic InfoArticle provided by MDPI, Open Access Journal in its journal Social Sciences.
Volume (Year): 2 (2013)
Issue (Month): 2 (April)
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immigration; ethnic identity; economic integration; wage decomposition; Canada;
Find related papers by JEL classification:
- A - General Economics and Teaching
- B - Schools of Economic Thought and Methodology
- N - Economic History
- P - Economic Systems
- Y80 - Miscellaneous Categories - - Related Disciplines - - - Related Disciplines
- Z00 - Other Special Topics - - General - - - General
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NBER Working Papers
2248, National Bureau of Economic Research, Inc.
- Peter S. Li, 2003. "Initial Earnings and Catch-Up Capacity of Immigrants," Canadian Public Policy, University of Toronto Press, vol. 29(3), pages 319-337, September.
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- Picot, Garnett Sweetman, Arthur, 2005. "The Deteriorating Economic Welfare of Immigrants and Possible Causes: Update 2005," Analytical Studies Branch Research Paper Series 2005262e, Statistics Canada, Analytical Studies Branch.
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