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Can education bridge the gap? Education and the employment position of immigrants in Belgium

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  • Vincent Corluy
  • Gerlinde Verbist
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    Abstract

    The employment rates of non-EU immigrants compared to natives in Belgium continue to be low. In this chapter we examine whether differences in educational attainments offer an adequate explanation for these persisting labour market disadvantages. We decompose the gap in labour market outcomes between immigrants and natives, using the Blinder-Oaxaca decomposition method. The decomposition shows that for EU born immigrants three quarters of the gap can be attributed to differences in the observed, socio-economic characteristics between the two populations. For non-EU born immigrants, the differences in observed characteristics with natives can account for around one third of the gap. Although the explanatory power of our model remains limited for this group, substantial increases in the effect of observed characteristics are found over the last fifteen years. A detailed decomposition shows that lower educational levels, larger families and diverse regional settlement can, at least partly, explain the lower labour market attachment of non-EU born immigrants. Over the period in focus, the impact of differences in educational level between immigrants and natives has significantly grown, indicating a declining socio-economic profile of more recent immigrants as compared with natives.

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    Bibliographic Info

    Paper provided by Herman Deleeck Centre for Social Policy, University of Antwerp in its series ImPRovE Working Papers with number 14/02.

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    Date of creation: Mar 2014
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    Handle: RePEc:hdl:improv:1402

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    Keywords: Employment rate gap; education; immigrants; Belgium;

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    1. George J. Borjas, 1995. "The Economic Benefits from Immigration," Journal of Economic Perspectives, American Economic Association, vol. 9(2), pages 3-22, Spring.
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    16. Vincent Corluy & Ive Marx & Gerlinde Verbist, 2011. "Employment chances and changes of immigrants in Belgium: the impact of citizenship," Working Papers 1107, Herman Deleeck Centre for Social Policy, University of Antwerp.
    17. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
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