Advanced Search
MyIDEAS: Login to save this paper or follow this series

Social Ties and the Job Search of Recent Immigrants

Contents:

Author Info

  • Deepti Goel

    ()
    (Delhi School of Economics)

  • Kevin Lang

    ()
    (Boston University and NBER, IZA)

Abstract

We show that increasing the probability of obtaining a job offer through the network should raise the observed mean wage in jobs found through formal (non-network) channels relative to that in jobs found through the network. This prediction also holds at all percentiles of the observed wage distribution, except the highest and lowest. The largest changes are likely to occur below the median. We test and confirm these implications using a survey of recent immigrants to Canada. We also develop a simple structural model, consistent with the theoretical model, and show that it can replicate the broad patterns in the data. For recent immigrants, our results are consistent with the primary effect of strong networks being to increase the arrival rate of offers rather than to alter the distribution from which offers are drawn.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.cream-migration.org/publ_uploads/CDP_22_10.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London in its series CReAM Discussion Paper Series with number 1022.

as in new window
Length:
Date of creation: Sep 2010
Date of revision:
Handle: RePEc:crm:wpaper:1022

Contact details of provider:
Postal: Drayton House, 30 Gordon Street, London WC1H 0AX
Phone: +44 (0)20 7679 5888
Fax: +44 (0)20 7916 2775
Web page: http://www.cream-migration.org/
More information through EDIRC

Related research

Keywords:

Other versions of this item:

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Marianne Bertrand & Erzo Luttmer & Sendhil Mullainathan, 1998. "Network Effects and Welfare Cultures," Working Papers, Princeton University, Department of Economics, Industrial Relations Section. 784, Princeton University, Department of Economics, Industrial Relations Section..
  2. Lori A. Beaman, 2012. "Social Networks and the Dynamics of Labour Market Outcomes: Evidence from Refugees Resettled in the U.S," Review of Economic Studies, Oxford University Press, vol. 79(1), pages 128-161.
  3. Edin, Per-Anders & Fredriksson, Peter & Åslund, Olof, 2000. "Ethnic enclaves and the economic success of immigrants - evidence from a natural experiment," Working Paper Series, IFAU - Institute for Evaluation of Labour Market and Education Policy 2000:9, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  4. Picot, Garnett & Sweetman, Arthur, 2005. "The Deteriorating Economic Welfare of Immigrants and Possible Causes: Update 2005," Analytical Studies Branch Research Paper Series, Statistics Canada, Analytical Studies Branch 2005262e, Statistics Canada, Analytical Studies Branch.
  5. Bayer, Patrick & Ross, Stephen L., 2005. "Place of Work and Place of Residence: Informal Hiring Networks and Labor Market Outcomes," Working Papers, Yale University, Department of Economics 8, Yale University, Department of Economics.
  6. Hou, Feng & Picot, Garnett, 2003. "Visible Minority Neighbourhood Enclaves and Labour Market Outcomes of Immigrants," Analytical Studies Branch Research Paper Series, Statistics Canada, Analytical Studies Branch 2003204e, Statistics Canada, Analytical Studies Branch.
  7. Borjas, George J, 1992. "Ethnic Capital and Intergenerational Mobility," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 107(1), pages 123-50, February.
  8. Christian Dustmann & Albrecht Glitz & Uta Schoenberg, 2011. "Referral-based Job Search Networks," Norface Discussion Paper Series, Norface Research Programme on Migration, Department of Economics, University College London 2011012, Norface Research Programme on Migration, Department of Economics, University College London.
  9. Bentolila, Samuel & Michelacci, Claudio & Suarez, Javier, 2004. "Social Contacts and Occupational Choice," CEPR Discussion Papers, C.E.P.R. Discussion Papers 4308, C.E.P.R. Discussion Papers.
  10. Michele Pellizzari, 2004. "Do Friends and Relatives Really Help in Getting a Good Job?," CEP Discussion Papers, Centre for Economic Performance, LSE dp0623, Centre for Economic Performance, LSE.
  11. Edward L. Glaeser & Bruce Sacerdote & Jose A. Scheinkman, 1995. "Crime and Social Interactions," NBER Working Papers 5026, National Bureau of Economic Research, Inc.
  12. Zenou,Yves, 2009. "Urban Labor Economics," Cambridge Books, Cambridge University Press, Cambridge University Press, number 9780521875387.
  13. Marmaros, David & Sacerdote, Bruce, 2002. "Peer and social networks in job search," European Economic Review, Elsevier, Elsevier, vol. 46(4-5), pages 870-879, May.
  14. Adriana Kugler, 2002. "Employee referrals and efficiency wages," Economics Working Papers, Department of Economics and Business, Universitat Pompeu Fabra 647, Department of Economics and Business, Universitat Pompeu Fabra.
  15. Edward P. Lazear, 1999. "Culture and Language," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 107(S6), pages S95-S126, December.
  16. Krishna Patel & Francis Vella, 2013. "Immigrant Networks and Their Implications for Occupational Choice and Wages," The Review of Economics and Statistics, MIT Press, vol. 95(4), pages 1249-1277, October.
  17. George J. Borjas, 1994. "Ethnicity, Neighborhoods, and Human Capital Externalities," NBER Working Papers 4912, National Bureau of Economic Research, Inc.
  18. Hellerstein, Judith K. & McInerney, Melissa & Neumark, David, 2008. "Measuring the Importance of Labor Market Networks," IZA Discussion Papers 3750, Institute for the Study of Labor (IZA).
  19. Kaivan Munshi, 2003. "Networks In The Modern Economy: Mexican Migrants In The U.S. Labor Market," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 118(2), pages 549-599, May.
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 in new window

Cited by:
  1. repec:ese:iserwp:2011-21 is not listed on IDEAS
  2. Isabelle Chort, 2013. "Migrant network and immigrants’ occupational mismatch," Working Papers, DIAL (Développement, Institutions et Mondialisation) DT/2013/04, DIAL (Développement, Institutions et Mondialisation).
  3. Lorenzo Cappellari & Konstantinos Tatsiramos, 2010. "Friends' Networks and Job Finding Rates," CESifo Working Paper Series 3243, CESifo Group Munich.
  4. Patacchini, Eleonora & Zenou, Yves, 2012. "Ethnic networks and employment outcomes," Regional Science and Urban Economics, Elsevier, Elsevier, vol. 42(6), pages 938-949.
  5. Tommaso Colussi, 2013. "Migrant Networks and Job Search Outcomes: Evidence from Displaced Workers," Working Papers, Queen Mary, University of London, School of Economics and Finance 706, Queen Mary, University of London, School of Economics and Finance.
  6. Arceo-Gómez, Eva Olimpia, 2012. "Job Search, Networks, and Labor Market Performance of Immigrants," MPRA Paper 44533, University Library of Munich, Germany.
  7. Nicodemo, Catia & Nicolini, Rosella, 2012. "Random or Referral Hiring: When Social Connections Matter," IZA Discussion Papers 6312, Institute for the Study of Labor (IZA).
  8. Audra J. Bowlus & Masashi Miyairi & Chris Robinson, 2013. "Immigrant Job Search Assimilation in Canada," University of Western Ontario, CIBC Centre for Human Capital and Productivity Working Papers, University of Western Ontario, CIBC Centre for Human Capital and Productivity 20136, University of Western Ontario, CIBC Centre for Human Capital and Productivity.
  9. Christian Dustmann & Albrecht Glitz & Uta Schönberg, 2011. "Referral-based Job Search Networks," CReAM Discussion Paper Series, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London 1114, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  10. Luciana Méndez Errico, 2013. "The Impacts of Social Networks on Immigrants’ Employment Prospects: The Spanish Case 1997-2007," Working Papers, Department of Applied Economics at Universitat Autonoma of Barcelona wpdea1301, Department of Applied Economics at Universitat Autonoma of Barcelona.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:crm:wpaper:1022. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CReAM Administrator) or (Thomas Cornelissen).

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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