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Wages and Employment of French Workers with African Origin

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Author Info

  • Aeberhardt, Romain

    ()
    (CREST-INSEE)

  • Fougère, Denis

    ()
    (CREST)

  • Pouget, Julien

    ()
    (CREST (ENSAE))

  • Rathelot, Roland

    ()
    (CREST)

Abstract

Our study proposes an econometric decomposition of the wage gap and of the difference in employment probabilities between French workers whose both parents had French citizenship at birth and French workers whose at least one parent had the citizenship of an African country at birth. For that purpose, we use data coming from the Formation Qualification Professionnelle (FQP) survey conducted by INSEE (Paris) in 2003. Our study is the first to estimate both employment and wage differentials between “native” French workers and children of African migrants. We find that one half of the employment gap and one third of the wage gap is not explained by differences in observable covariates between the two groups. This result is obtained by using a new method yielding more precise results when the sample size of the potentially discriminated group is small.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2898.

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Length: 25 pages
Date of creation: Jul 2007
Date of revision:
Publication status: published in: Journal of Population Economics, 2010, 23 (3), 881-905
Handle: RePEc:iza:izadps:dp2898

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Keywords: second-generation migrants; wage differentials; discrimination;

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  1. Oaxaca, Ronald L. & Ransom, Michael R., 1994. "On discrimination and the decomposition of wage differentials," Journal of Econometrics, Elsevier, vol. 61(1), pages 5-21, March.
  2. Ott Toomet & Arne Henningsen, . "Sample Selection Models in R: Package sampleSelection," Journal of Statistical Software, American Statistical Association, vol. 27(i07).
  3. Mroz, Thomas A, 1987. "The Sensitivity of an Empirical Model of Married Women's Hours of Work to Economic and Statistical Assumptions," Econometrica, Econometric Society, vol. 55(4), pages 765-99, July.
  4. Altonji, Joseph G. & Blank, Rebecca M., 1999. "Race and gender in the labor market," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 48, pages 3143-3259 Elsevier.
  5. James J. Heckman, 1998. "Detecting Discrimination," Journal of Economic Perspectives, American Economic Association, vol. 12(2), pages 101-116, Spring.
  6. Marianne Bertrand & Sendhil Mullainathan, 2004. "Are Emily and Greg More Employable Than Lakisha and Jamal? A Field Experiment on Labor Market Discrimination," American Economic Review, American Economic Association, vol. 94(4), pages 991-1013, September.
  7. Dean R. Hyslop, 1999. "State Dependence, Serial Correlation and Heterogeneity in Intertemporal Labor Force Participation of Married Women," Econometrica, Econometric Society, vol. 67(6), pages 1255-1294, November.
  8. Phelps, Edmund S, 1972. "The Statistical Theory of Racism and Sexism," American Economic Review, American Economic Association, vol. 62(4), pages 659-61, September.
  9. Denis Fougere & Mirna Safi, 2009. "Naturalization and employment of immigrants in France (1968-1999)," International Journal of Manpower, Emerald Group Publishing, vol. 30(1/2), pages 83-96, May.
  10. Shoshana Neuman & Ronald Oaxaca, 2004. "Wage Decompositions with Selectivity-Corrected Wage Equations: A Methodological Note," Journal of Economic Inequality, Springer, vol. 2(1), pages 3-10, April.
  11. Derek A. Neal & William R. Johnson, 1995. "The Role of Pre-Market Factors in Black-White Wage Differences," NBER Working Papers 5124, National Bureau of Economic Research, Inc.
  12. 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.
  13. Aeberhardt, Romain & Pouget, Julien, 2007. "National Origin Wage Differentials in France: Evidence from Matched Employer-Employee Data," IZA Discussion Papers 2779, Institute for the Study of Labor (IZA).
  14. Dominique Meurs & Ariane Pailhé & Patrick Simon, 2006. "The Persistence of Intergenerational Inequalities linked to Immigration: Labour Market Outcomes for Immigrants and their Descendants in France," Population (english edition), Institut National d'Études Démographiques (INED), vol. 61(5), pages 645-682.
  15. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
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