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The Earnings Growth of Asian Versus European Immigrants

In: Human Capital Investment

Author

Listed:
  • Harriet Duleep

    (William & Mary)

  • Mark C. Regets

    (National Foundation for American Policy)

  • Seth Sanders

    (Cornell University)

  • Phanindra V. Wunnava

    (Middlebury College)

Abstract

Using Public Use Microdata Samples (PUMS) of the 1970, 1980, and 1990 censuses, we examine the relationship between entry earnings and earnings growth of two cohorts of Asian and European immigrants—those who immigrated between 1965 and 1970 or between 1975 and 1980. We use a non-parametric approach following immigrant cohorts across decennial censuses; this avoids constraining the growth rate of earnings to be the same across year-of-entry cohorts. Our analysis includes non-earners and focuses on median earnings. We find that cohorts of Asian immigrant men have lower entry earnings but higher earnings growth than their European counterparts. We also compare Asian and European immigrants to the native born. We find the earnings of both sets of immigrants surpass the earnings of the native born within 15 years of arrival. Asian immigrants close the gap despite starting in the U.S. with earnings that are about half the earnings of the native born.

Suggested Citation

  • Harriet Duleep & Mark C. Regets & Seth Sanders & Phanindra V. Wunnava, 2020. "The Earnings Growth of Asian Versus European Immigrants," Springer Books, in: Human Capital Investment, chapter 0, pages 55-63, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-47083-8_6
    DOI: 10.1007/978-3-030-47083-8_6
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