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Ethnicity, Job Search and Labor Market Reintegration of the Unemployed

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  • Amelie Constant
  • Martin Kahanec
  • Ulf Rinne
  • Klaus F. Zimmermann

Abstract

This paper is based on recently collected and rich survey data of a representative sample of entrants into unemployment in Germany. Our data include a large number of migration variables, allowing us to adapt a recently developed concept of ethnic identity: the ethnosizer. To shed further light on the native-migrant differences in economic outcomes, we investigate the labor market reintegration, patterns of job search, and reservation wages across unemployed migrants and natives in Germany. Our results indicate that separated migrants have a relatively slow reintegration into the labor market. We explain this finding by arguing that this group exerts a relatively low search effort and that it has reservation wages which are moderate, yet still above the level which would imply similar employment probabilities as other groups of migrants.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.345476.de/dp963.pdf
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Bibliographic Info

Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 963.

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Length: 23 p.
Date of creation: 2009
Date of revision:
Handle: RePEc:diw:diwwpp:dp963

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Keywords: migration; ethnicity; ethnic identity; ethnosizer; unemployment; job search; reservation wages;

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References

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  1. Klaus Zimmermann, 2007. "The economics of migrant ethnicity," Journal of Population Economics, Springer, vol. 20(3), pages 487-494, July.
  2. James J. Heckman & Jora Stixrud & Sergio Urzua, 2006. "The Effects of Cognitive and Noncognitive Abilities on Labor Market Outcomes and Social Behavior," Journal of Labor Economics, University of Chicago Press, vol. 24(3), pages 411-482, July.
  3. Constant, Amelie F. & Zimmermann, Klaus F., 2009. "Work and Money: Payoffs by Ethnic Identity and Gender," IZA Discussion Papers 4275, Institute for the Study of Labor (IZA).
  4. Blau, David M & Robins, Philip K, 1990. "Job Search Outcomes for the Employed and Unemployed," Journal of Political Economy, University of Chicago Press, vol. 98(3), pages 637-55, June.
  5. Marco Caliendo & Ricarda Schmidl & Arne Uhlendorff, 2010. "Social Networks, Job Search Methods and Reservation Wages: Evidence for Germany," Discussion Papers of DIW Berlin 1055, DIW Berlin, German Institute for Economic Research.
  6. Arne Uhlendorff & Klaus F. Zimmermann, 2006. "Unemployment Dynamics among Migrants and Natives," Discussion Papers of DIW Berlin 617, DIW Berlin, German Institute for Economic Research.
  7. Holzer, Harry J, 1988. "Search Method Use by Unemployed Youth," Journal of Labor Economics, University of Chicago Press, vol. 6(1), pages 1-20, January.
  8. Beatrix Brügger & Rafael Lalive & Josef Zweimüller, 2009. "Does Culture Affect Unemployment? Evidence from the Röstigraben," NRN working papers 2009-10, The Austrian Center for Labor Economics and the Analysis of the Welfare State, Johannes Kepler University Linz, Austria.
  9. Constant, Amelie F. & Roberts, Rowan & Zimmermann, Klaus F., 2007. "Ethnic Identity and Immigrant Homeownership," IZA Discussion Papers 3050, Institute for the Study of Labor (IZA).
  10. Nekby, Lena & Rödin, Magnus, 2007. "Acculturation Identity and Labor Market Outcomes," SULCIS Working Papers 2007:4, Stockholm University Linnaeus Center for Integration Studies - SULCIS.
  11. Borghans Lex & Lee Duckworth Angela & Heckman James J. & Weel Bas ter, 2008. "The Economics and Psychology of Personality Traits," ROA Research Memorandum 001, Maastricht University, Research Centre for Education and the Labour Market (ROA).
  12. Marco Caliendo & Armin Falk & Lutz C. Kaiser & Hilmar Schneider & Arne Uhlendorff & Gerard van den Berg & Klaus F. Zimmermann, 2011. "The IZA Evaluation Dataset: towards evidence-based labor policy making," International Journal of Manpower, Emerald Group Publishing, vol. 32(7), pages 731-752, November.
  13. Constant, Amelie F. & Gataullina, Liliya & Zimmermann, Klaus F., 2006. "Ethnosizing Immigrants," IZA Discussion Papers 2040, Institute for the Study of Labor (IZA).
  14. Amelie F. Constant & Annabelle Krause & Ulf Rinne & Klaus F. Zimmermann, 2011. "Economic preferences and attitudes of the unemployed: Are natives and second generation migrants alike?," International Journal of Manpower, Emerald Group Publishing, vol. 32(7), pages 825-851, November.
  15. Zimmermann, Klaus F., 2007. "Migrant Ethnic Identity: Concept and Policy Implications," IZA Discussion Papers 3056, Institute for the Study of Labor (IZA).
  16. George A. Akerlof & Rachel E. Kranton, 2002. "Identity and Schooling: Some Lessons for the Economics of Education," Journal of Economic Literature, American Economic Association, vol. 40(4), pages 1167-1201, December.
  17. Muhleisen, Martin & Zimmermann, Klaus F., 1994. "A panel analysis of job changes and unemployment," European Economic Review, Elsevier, vol. 38(3-4), pages 793-801, April.
  18. Harminder Battu & Yves Zenou, 2009. "Oppositional Identities and Employment for Ethnic Minorities. Evidence from England," CReAM Discussion Paper Series 0924, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  19. Bonin, Holger & Dohmen, Thomas & Falk, Armin & Huffman, David & Sunde, Uwe, 2007. "Cross-sectional earnings risk and occupational sorting: The role of risk attitudes," Labour Economics, Elsevier, vol. 14(6), pages 926-937, December.
  20. Zimmermann, Klaus F., 2004. "European Labour Mobility: Challenges and Potentials," IZA Discussion Papers 1410, Institute for the Study of Labor (IZA).
  21. Lancaster, Tony & Chesher, Andrew, 1983. "An Econometric Analysis of Reservation Wages," Econometrica, Econometric Society, vol. 51(6), pages 1661-76, November.
  22. Constant, Amelie & Krause, Annabelle & Rinne, Ulf & Zimmermann, Klaus F, 2011. "Reservation Wages of First and Second Generation Migrants," CEPR Discussion Papers 8208, C.E.P.R. Discussion Papers.
  23. Constant, Amelie & Zimmermann, Klaus F, 2007. "Measuring Ethnic Identity and Its Impact on Economic Behaviour," CEPR Discussion Papers 6466, C.E.P.R. Discussion Papers.
  24. Nekby, Lena & Rödin, Magnus, 2010. "Acculturation identity and employment among second and middle generation immigrants," Journal of Economic Psychology, Elsevier, vol. 31(1), pages 35-50, February.
  25. Amelie Constant & Klaus F. Zimmermann, 2009. "Migration, Ethnicity and Economic Integration," Discussion Papers of DIW Berlin 957, DIW Berlin, German Institute for Economic Research.
  26. Thomas Liebig, 2007. "The Labour Market Integration of Immigrants in Germany," OECD Social, Employment and Migration Working Papers 47, OECD Publishing.
  27. Darity, William Jr. & Mason, Patrick L. & Stewart, James B., 2006. "The economics of identity: The origin and persistence of racial identity norms," Journal of Economic Behavior & Organization, Elsevier, vol. 60(3), pages 283-305, July.
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Citations

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Cited by:
  1. Andersen, Torben M, 2012. "Migration, Redistribution and the Universal Welfare Model," IZA Discussion Papers 6665, Institute for the Study of Labor (IZA).
  2. Caliendo, Marco & Uhlendorff, Arne, 2010. "Determinanten des Suchverhaltens von Arbeitslosen: Ausgewählte Erkenntnisse basierend auf dem IZA Evaluationsdatensatz," IZA Discussion Papers 5379, Institute for the Study of Labor (IZA).
  3. Rinne, Ulf & Schüller, Simone & Zimmermann, Klaus F., 2010. "Ethnische Vielfalt und Arbeitsmarkterfolg," IZA Standpunkte 34, Institute for the Study of Labor (IZA).
  4. Caliendo, Marco & Falk, Armin & Kaiser, Lutz C. & Schneider, Hilmar & Uhlendorff, Arne & van den Berg, Gerard J. & Zimmermann, Klaus F., 2010. "The IZA Evaluation Dataset: Towards Evidence-Based Labor Policy-Making," IZA Discussion Papers 5400, Institute for the Study of Labor (IZA).
  5. Arni, Patrick & Caliendo, Marco & Künn, Steffen & Zimmermann, Klaus F., 2014. "The IZA Evaluation Dataset Survey: A Scientific Use File," IZA Discussion Papers 7971, Institute for the Study of Labor (IZA).
  6. Koller, Lena, 2011. "Lohnmobilität alleinstehender SGB-II-Leistungsempfänger," IAB Discussion Paper 201105, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  7. Constant, Amelie & Krause, Annabelle & Rinne, Ulf & Zimmermann, Klaus F, 2011. "Economic Preferences and Attitudes of the Unemployed: Are Natives and Second Generation Migrants Alike?," CEPR Discussion Papers 8207, C.E.P.R. Discussion Papers.

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