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The International Transferability of Immigrants’ Human Capital Skills

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Author Info
Barry R. Chiswick () (University of Illinois at Chicago and IZA)
Paul W. Miller () (University of Western Australia and IZA)

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Abstract

This paper uses the approach in the under/over education literature to analyze the extent of matching of educational level to occupational attainment among adult native born and foreign born men in the U.S., using the 2000 Census. Overeducation is found to be more common among recent labor market entrants, while undereducation is more likely among older workers. Married men, veterans and those living in metropolitan areas are also more likely to be overeducated. Among immigrants, greater pre-immigration labor market experience is associated with poorer job matches, presumably due to the less than perfect international transferability of skills. A longer duration in the U.S., however, is associated with a lower probability of being overeducated and a greater probability of being undereducated. This is consistent with immigrants being favorably selected for occupational advancement but this effect becomes realized only after overcoming the disadvantages of the less than perfect international transferability of their pre-immigration skills.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2670.

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Length: 29 pages
Date of creation: Mar 2007
Date of revision:
Handle: RePEc:iza:izadps:dp2670

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Related research
Keywords: immigrants; education; occupational attainment;

Find related papers by JEL classification:
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J62 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Job, Occupational and Intergenerational Mobility; Promotion
F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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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.:
  1. Daly, Mary C. & Buchel, Felix & Duncan, Greg J., 2000. "Premiums and penalties for surplus and deficit education: Evidence from the United States and Germany," Economics of Education Review, Elsevier, vol. 19(2), pages 169-178, April. [Downloadable!] (restricted)
  2. Chiswick, Barry R & Miller, Paul W, 1985. "Immigrant Generation and Income in Australia," The Economic Record, The Economic Society of Australia, vol. 61(173), pages 540-53, June.
  3. Hartog, Joop, 2000. "Over-education and earnings: where are we, where should we go?," Economics of Education Review, Elsevier, vol. 19(2), pages 131-147, April. [Downloadable!] (restricted)
  4. Dustmann, C, 1993. "Earnings Adjustment of Temporary Migrants," Journal of Population Economics, Springer, vol. 6(2), pages 153-68, May.
  5. Duncan, Greg J. & Hoffman, Saul D., 1981. "The incidence and wage effects of overeducation," Economics of Education Review, Elsevier, vol. 1(1), pages 75-86, February. [Downloadable!] (restricted)
  6. Mendes de Oliveira, M. & Santos, M. C. & Kiker, B. F., 2000. "The role of human capital and technological change in overeducation," Economics of Education Review, Elsevier, vol. 19(2), pages 199-206, April. [Downloadable!] (restricted)
  7. Rumberger, Russell W., 1981. "The rising incidence of overeducation in the U.S. Labor market," Economics of Education Review, Elsevier, vol. 1(3), pages 293-314, June. [Downloadable!] (restricted)
  8. Chiswick, Barry R, 1980. "The Earnings of White and Coloured Male Immigrants in Britain," Economica, London School of Economics and Political Science, vol. 47(185), pages 81-87, February. [Downloadable!] (restricted)
  9. Groot, Wim & Maassen van den Brink, Henriette, 2000. "Overeducation in the labor market: a meta-analysis," Economics of Education Review, Elsevier, vol. 19(2), pages 149-158, April. [Downloadable!] (restricted)
  10. McGoldrick, KimMarie & Robst, John, 1996. "Gender Differences in Overeducation: A Test of the Theory of Differential Overqualification," American Economic Review, American Economic Association, vol. 86(2), pages 280-84, May. [Downloadable!] (restricted)
  11. Sattinger, Michael, 1993. "Assignment Models of the Distribution of Earnings," Journal of Economic Literature, American Economic Association, vol. 31(2), pages 831-80, June. [Downloadable!] (restricted)
  12. Sicherman, Nachum, 1991. ""Overeducation" in the Labor Market," Journal of Labor Economics, University of Chicago Press, vol. 9(2), pages 101-22, April. [Downloadable!] (restricted)
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  13. Cohn, Elchanan & Khan, Shahina P., 1995. "The wage effects of overschooling revisited," Labour Economics, Elsevier, vol. 2(1), pages 67-76, March. [Downloadable!] (restricted)
  14. Séamus McGuinness, 2006. "Overeducation in the Labour Market," Journal of Economic Surveys, Blackwell Publishing, vol. 20(3), pages 387-418, 07. [Downloadable!] (restricted)
  15. Kiker, B. F. & Santos, Maria C. & de Oliveira, M. Mendes, 1997. "Overeducation and undereducation: Evidence for Portugal," Economics of Education Review, Elsevier, vol. 16(2), pages 111-125, April. [Downloadable!] (restricted)
Full references

Cited by:
(explanations, 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.)

  1. Alisher Aldashev & Johannes Gernandt & Stephan L. Thomsen, 2008. "The Immigrant Wage Gap in Germany," FEMM Working Papers 08019, Otto-von-Guericke University Magdeburg, Faculty of Economics and Management. [Downloadable!]
    Other versions:
  2. Sanromá, Esteve & Ramos, Raul & Simón, Hipólito, 2008. "The Portability of Human Capital and Immigrant Assimilation: Evidence for Spain," IZA Discussion Papers 3649, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Paul W. Miller & Barry R. Chiswick, 2006. "Why is the Payoff to Schooling Smaller for Immigrants?," Economics Discussion / Working Papers 06-03, The University of Western Australia, Department of Economics. [Downloadable!]
    Other versions:
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