IDEAS home Printed from https://ideas.repec.org/a/kap/empiri/v46y2019i4d10.1007_s10663-019-09460-7.html
   My bibliography  Save this article

Foreign language skills and employment status of European natives: evidence from Germany, Italy and Spain

Author

Listed:
  • Michele Gazzola

    (Ulster University)

  • Daniele Mazzacani

    (Free University of Bozen-Bolzano)

Abstract

This article examines the relationship between foreign language skills and the employment status of natives in Germany, Italy and Spain. Using a probit model and data from Eurostat’s Adult Education Survey 2011, this article studies the conditional correlation between knowledge of English and French as foreign languages, and the probability of being employed, comparatively, for men and women. The results reveal that skills in English increase the probability of being employed for men in the three countries, respectively, by 3.4, 4.3 and 5.2%. Knowledge of English increases the probability of being employed for women in Germany and Italy—respectively, by 5.6 and 5.7%—but not in Spain. The results also show that very good skills are associated with a higher probability of being employed than sufficient or good skills. The conditional correlation between knowledge of English and employment status for men is larger in countries where skills in this language are less common among the population, and where the unemployment rate is higher. This is consistent with the fundamental economic concept of scarcity. Estimates for French are not statistically significant.

Suggested Citation

  • Michele Gazzola & Daniele Mazzacani, 2019. "Foreign language skills and employment status of European natives: evidence from Germany, Italy and Spain," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 46(4), pages 713-740, November.
  • Handle: RePEc:kap:empiri:v:46:y:2019:i:4:d:10.1007_s10663-019-09460-7
    DOI: 10.1007/s10663-019-09460-7
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10663-019-09460-7
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s10663-019-09460-7?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Christian Dustmann & Arthur van Soest, 2001. "Language Fluency And Earnings: Estimation With Misclassified Language Indicators," The Review of Economics and Statistics, MIT Press, vol. 83(4), pages 663-674, November.
    2. Christian Dustmann & Francesca Fabbri, 2003. "Language proficiency and labour market performance of immigrants in the UK," Economic Journal, Royal Economic Society, vol. 113(489), pages 695-717, July.
    3. Yao, Yuxin & van Ours, Jan C., 2015. "Language skills and labor market performance of immigrants in the Netherlands," Labour Economics, Elsevier, vol. 34(C), pages 76-85.
    4. Yao, Y. & van Ours, J.C., 2015. "Language Skills and Labor Market Performance of Immigrants in the Netherlands," Other publications TiSEM 8df5e344-eb4e-4c90-9429-8, Tilburg University, School of Economics and Management.
    5. Antonio Paolo & Aysit Tansel, 2019. "English skills, labour market status and earnings of Turkish women," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 46(4), pages 669-690, November.
    6. Antonio Di Paolo & Aysit Tansel, 2019. "“English skills, labour market status and earnings of Turkish women”," AQR Working Papers 201901, University of Barcelona, Regional Quantitative Analysis Group, revised Jan 2019.
    7. Katy Cornwell & Brett Inder, 2008. "Language and Labour Markets in South Africa," Journal of African Economies, Centre for the Study of African Economies, vol. 17(3), pages 490-525, June.
    8. Ronald W. McQuaid & Colin Lindsay, 2005. "The Concept of Employability," Urban Studies, Urban Studies Journal Limited, vol. 42(2), pages 197-219, February.
    9. Isphording, Ingo E. & Otten, Sebastian, 2014. "Linguistic barriers in the destination language acquisition of immigrants," Journal of Economic Behavior & Organization, Elsevier, vol. 105(C), pages 30-50.
    10. Alejandro Donado, 2017. "Foreign Languages and their Impact on Unemployment," LABOUR, CEIS, vol. 31(3), pages 265-287, September.
    11. Chiswick, Barry R & Miller, Paul W, 1995. "The Endogeneity between Language and Earnings: International Analyses," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 246-288, April.
    12. Sílvio Rendon, 2007. "The Catalan premium: language and employment in Catalonia," Journal of Population Economics, Springer;European Society for Population Economics, vol. 20(3), pages 669-686, July.
    13. Zorlu, Aslan & Hartog, Joop, 2018. "The Impact of Language on Socioeconomic Integration of Immigrants," IZA Discussion Papers 11485, Institute of Labor Economics (IZA).
    14. Ms. Florence Jaumotte, 2011. "The Spanish Labor Market in a Cross-Country Perspective," IMF Working Papers 2011/011, International Monetary Fund.
    15. Brian Fabo & Miroslav Beblavý & Karolien Lenaerts, 2017. "The importance of foreign language skills in the labour markets of Central and Eastern Europe: assessment based on data from online job portals," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 44(3), pages 487-508, August.
    16. Yuxin Yao & Jan C. Ours, 2019. "Daily dialect-speaking and wages among native Dutch speakers," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 46(4), pages 653-668, November.
    17. Aldashev, Alisher & Gernandt, Johannes & Thomsen, Stephan L., 2009. "Language usage, participation, employment and earnings: Evidence for foreigners in West Germany with multiple sources of selection," Labour Economics, Elsevier, vol. 16(3), pages 330-341, June.
    18. Alan Duncan & Astghik Mavisakalyan, 2015. "Russian language skills and employment in the Former Soviet Union," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 23(3), pages 625-656, July.
    19. Derek Leslie & Joanne Lindley, 2001. "The Impact of Language Ability on Employment and Earnings of Britain’s Ethnic Communities," Economica, London School of Economics and Political Science, vol. 68(272), pages 587-606, November.
    20. Paolo Naticchioni & Andrea Ricci & Emiliano Rustichelli, 2010. "Far away from a skill-biased change: falling educational wage premia in Italy," Applied Economics, Taylor & Francis Journals, vol. 42(26), pages 3383-3400.
    21. Chun, Hyunbae & Lee, Injae, 2001. "Why Do Married Men Earn More: Productivity or Marriage Selection?," Economic Inquiry, Western Economic Association International, vol. 39(2), pages 307-319, April.
    22. Santiago Budría & Alberto Colino & Carlos Martínez de Ibarreta, 2019. "The impact of host language proficiency on employment outcomes among immigrants in Spain," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 46(4), pages 625-652, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hahm, Sabrina & Gazzola, Michele, 2022. "The Value of Foreign Language Skills in the German Labor Market," Labour Economics, Elsevier, vol. 76(C).
    2. Kentaro Hatsumi, 2023. "Second‐language acquisition behavior and hegemonic language," International Journal of Economic Theory, The International Society for Economic Theory, vol. 19(1), pages 3-20, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hahm, Sabrina & Gazzola, Michele, 2022. "The Value of Foreign Language Skills in the German Labor Market," Labour Economics, Elsevier, vol. 76(C).
    2. Davia, María A. & Wang, Ting & Gámez, Matías, 2019. "Language proficiency and immigrants’ labor market outcomes in post-crisis Spain," MPRA Paper 94795, University Library of Munich, Germany.
    3. Zorlu, Aslan & Hartog, Joop, 2018. "The Impact of Language on Socioeconomic Integration of Immigrants," IZA Discussion Papers 11485, Institute of Labor Economics (IZA).
    4. Jacek Liwiński, 2019. "The wage premium from foreign language skills," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 46(4), pages 691-711, November.
    5. Budría, Santiago & Martínez-de-Ibarreta, Carlos, 2021. "Education and skill mismatches among immigrants: The impact of host language proficiency," Economics of Education Review, Elsevier, vol. 84(C).
    6. Antonio Di Paolo & Aysit Tansel, 2015. "Returns to Foreign Language Skills in a Developing Country: The Case of Turkey," Journal of Development Studies, Taylor & Francis Journals, vol. 51(4), pages 407-421, April.
    7. Zheng, Yeqiu & Gu, Yan & Backus, Albert & van Soest, Arthur, 2023. "The value of host-country language: The effect of Dutch language proficiency on immigrants’ income, savings and financial wealth in the Netherlands," OSF Preprints qnfuv, Center for Open Science.
    8. De Paola, Maria & Brunello, Giorgio, 2016. "Education as a Tool for the Economic Integration of Migrants," IZA Discussion Papers 9836, Institute of Labor Economics (IZA).
    9. Antonio Di Paolo & Aysit Tansel, 2015. "Returns to Foreign Language Skills in a Developing Country: The Case of Turkey," Journal of Development Studies, Taylor & Francis Journals, vol. 51(4), pages 407-421, April.
    10. Zhou, Yonghong & Zhu, Rong & Zheng, Xian, 2020. "Second language skills and labor market outcomes: Evidence from the handover of Hong Kong," China Economic Review, Elsevier, vol. 59(C).
    11. Antonio Di Paolo & Josep Lluís Raymond, 2012. "Language Knowledge and Earnings in Catalonia," Journal of Applied Economics, Taylor & Francis Journals, vol. 15(1), pages 89-118, May.
    12. Yao, Yuxin & Ohinata, Asako & van Ours, Jan, 2016. "The Education Consequences of Language Proficiency for Young Children," Other publications TiSEM 55d080a9-861e-4372-b542-e, Tilburg University, School of Economics and Management.
    13. Ann-Marie Sommerfeld, 2023. "The Effect of Schooling on Parental Integration," Jena Economics Research Papers 2023-018, Friedrich-Schiller-University Jena.
    14. Bedaso, Fenet, 2021. "The Labor Market Integration of Refugees and other Migrants in Germany," GLO Discussion Paper Series 884, Global Labor Organization (GLO).
    15. Chiswick, Barry R. & Wang, Zhiling, 2019. "Social Contacts, Dutch Language Proficiency and Immigrant Economic Performance in the Netherlands," GLO Discussion Paper Series 419, Global Labor Organization (GLO).
    16. Dovì, Max-Sebastian, 2019. "Does higher language proficiency decrease the probability of unemployment? Evidence from China," China Economic Review, Elsevier, vol. 54(C), pages 1-11.
    17. Yao, Yuxin, 2017. "Essays on economics of language and family economics," Other publications TiSEM 0093bc8e-e869-4f87-8ff8-8, Tilburg University, School of Economics and Management.
    18. L. Pieroni & G. d’Agostino & D. Lanari & M. Scarlato, 2024. "Immigrant Labour Market Outcomes: New Insights from a Lack of Language Proficiency in Italy," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 10(1), pages 293-327, March.
    19. Zizhen Wang, 2020. "Bonding and Bridging Social Capital: The Determinants of English Language Fluency and Its Effects on the Labour Market Outcome of International Students in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 51(1), pages 35-61.
    20. Lang, Julia, 2018. "Employment effects of language training for unemployed immigrants," IAB-Discussion Paper 201821, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].

    More about this item

    Keywords

    Foreign language skills; Employment status; Employability; Language policy; Germany; Italy; Spain; European labour market; Human capital;
    All these keywords.

    JEL classification:

    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:empiri:v:46:y:2019:i:4:d:10.1007_s10663-019-09460-7. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.