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Analyzing the Labor Market Activity of Immigrant Families in Germany

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Author Info
Leilanie Basilio () (Ruhr Graduate School in Economics)
Thomas K. Bauer () (RWI Essen, Ruhr-University Bochum and IZA)
Mathias Sinning () (RWI Essen and IZA)

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Abstract

This paper analyzes whether immigrant families facing credit constraints adopt a family investment strategy wherein, upon arrival, an immigrant spouse invests in host countryspecific human capital while the other partner works to finance the family's current consumption. Using data for West Germany, we do not find evidence for such a specialization strategy. We further examine the labor supply and wage assimilation of families whose members immigrated together relative to families whose members immigrated sequentially. Our estimates indicate that this differentiation is relevant for the analysis of the labor market activities of migrant households.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2989.

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Length: 36 pages
Date of creation: Aug 2007
Date of revision:
Handle: RePEc:iza:izadps:dp2989

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Related research
Keywords: international migration; assimilation; family investment hypothesis;

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Find related papers by JEL classification:
D10 - Microeconomics - - Household Behavior - - - General
F22 - International Economics - - International Factor Movements and International Business - - - International Migration
J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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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. Francine D. Blau & Lawrence M. Kahn & Joan Y. Moriarty & Andre Portela Souza, 2003. "The Role of the Family in Immigrants' Labor-Market Activity: An Evaluation of Alternative Explanations: Comment," American Economic Review, American Economic Association, vol. 93(1), pages 429-447, March. [Downloadable!]
  2. Baker, Michael & Benjamin, Dwayne, 1997. "The Role of the Family in Immigrants' Labor-Market Activity: An Evaluation of Alternative Explanations," American Economic Review, American Economic Association, vol. 87(4), pages 705-27, September. [Downloadable!] (restricted)
  3. Cobb-Clark, Deborah & Crossley, Thomas F., 2004. "Revisiting the family investment hypothesis," Labour Economics, Elsevier, vol. 11(3), pages 373-393, June. [Downloadable!] (restricted)
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  4. Mincer, Jacob, 1978. "Family Migration Decisions," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 749-73, October. [Downloadable!] (restricted)
  5. Charles M. Beach & Christopher Worswick, 1993. "Is There a Double-Negative Effect on the Earnings of Immigrant Women?," Canadian Public Policy, University of Toronto Press, vol. 19(1), pages 36-53, March. [Downloadable!] (restricted)
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  6. Borjas, George J & Bronars, Stephen G, 1991. "Immigration and the Family," Journal of Labor Economics, University of Chicago Press, vol. 9(2), pages 123-48, April. [Downloadable!] (restricted)
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  7. Chiswick, Barry R, 1978. "The Effect of Americanization on the Earnings of Foreign-born Men," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 897-921, October. [Downloadable!] (restricted)
  8. Philip Martin, 2002. "Germany: Managing Migration in the 21st Century," Institute of European Studies, Working Paper Series 1, Institute of European Studies, UC Berkeley. [Downloadable!]
  9. Francine D. Blau & Lawrence M. Kahn & Joan Y. Moriarty & Andre Portela Souza, 2002. "The Role of the Family in Immigrants' Labor-Market Activity: Evidence from the United States," NBER Working Papers 9051, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  10. Dustmann, C, 1993. "Earnings Adjustment of Temporary Migrants," Journal of Population Economics, Springer, vol. 6(2), pages 153-68, May.
  11. Christopher Worswick, 1996. "Immigrant Families in the Canadian Labour Market," Canadian Public Policy, University of Toronto Press, vol. 22(4), pages 378-396, December. [Downloadable!] (restricted)
  12. Fertig, Michael & Schmidt, Christoph M., 2001. "First- and Second-Generation Migrants in Germany - What Do We Know and What Do People Think," IZA Discussion Papers 286, Institute for the Study of Labor (IZA). [Downloadable!]
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  13. Long, James E, 1980. "The Effect of Americanization on Earnings: Some Evidence for Women," Journal of Political Economy, University of Chicago Press, vol. 88(3), pages 620-29, June. [Downloadable!] (restricted)
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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. Mathias Sinning, 2007. "Determinants of Savings and Remittances – Empirical Evidence from Immigrants to Germany," Ruhr Economic Papers 0023, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen. [Downloadable!]
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