Intergenerational Mobility of Immigrants in Germany: Moving with Natives or Stuck in their Neighborhoods?
AbstractIn this paper, I analyze intergenerational mobility of immigrants and natives in Germany. Using the German Socioeconomic Panel (GSOEP), I find intergenerational elasticities that range from 0.19 to 0.26 for natives and from 0.37 to 0.40 for immigrants. These elasticity estimates are lower than typically found for the U.S. and imply higher mobility in Germany than in the U.S. However, as in the U.S., I find greater mobility among German natives than among immigrants. Moreover, I investigate to what extent the lower mobility among immigrants in Germany is due to “ethnic capital” as suggested by Borjas (1992). I find that the impact of father’s earnings on son’s earnings remains virtually unchanged when including a measure of ethnic capital, suggesting that the higher father-son correlation found among immigrants is not due to omitting ethnic capital. However, I do find a large independent effect of ethnic capital on sons’ earnings (the coefficient is 0.81 as opposed to 0.25 found by Borjas (1992)). These results are consistent with estimates from Microcensus data, where the combined effect of parents’ and ethnic capital is close to unity. Thus, contrary to the U.S. results which suggest convergence of immigrants’ earnings towards natives’ earnings, the German results suggest divergence of immigrant earnings.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4677.
Length: 53 pages
Date of creation: Dec 2009
Date of revision:
Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Find related papers by JEL classification:
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-01-23 (All new papers)
- NEP-LAB-2010-01-23 (Labour Economics)
- NEP-MIG-2010-01-23 (Economics of Human Migration)
- NEP-URE-2010-01-23 (Urban & Real Estate Economics)
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.:
- Solon, Gary, 1989. "Biases in the Estimation of Intergenerational Earnings Correlations," The Review of Economics and Statistics, MIT Press, vol. 71(1), pages 172-74, February.
- Zimmerman, David J, 1992. "Regression toward Mediocrity in Economic Stature," American Economic Review, American Economic Association, American Economic Association, vol. 82(3), pages 409-29, June.
- George J. Borjas, 1994. "The Economics of Immigration," Journal of Economic Literature, American Economic Association, vol. 32(4), pages 1667-1717, December.
- Gary Solon, 2002. "Cross-Country Differences in Intergenerational Earnings Mobility," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 16(3), pages 59-66, Summer.
- Heisz, Andrew & Corak, Miles, 1996. "The Intergenerational Income Mobility of Canadian Men," Analytical Studies Branch Research Paper Series 1996089e, Statistics Canada, Analytical Studies Branch.
- Mevlude Akbulut-Yuksel & Belgi Turan, 2013.
"Left behind: intergenerational transmission of human capital in the midst of HIV/AIDS,"
Journal of Population Economics, Springer,
Springer, vol. 26(4), pages 1523-1547, October.
- Mevlude Akbulut-Yuksel & Belgi Turan, 2010. "Left Behind: Intergenerational Transmission of Human Captial in the Midst of HIV/AIDS," Department of Economics at Dalhousie University working papers archive, Dalhousie, Department of Economics akbulut_hiv.pdf, Dalhousie, Department of Economics.
- Akbulut-Yuksel, Mevlude & Turan, Belgi, 2010. "Left Behind: Intergenerational Transmission of Human Capital in the Midst of HIV/AIDS," IZA Discussion Papers 5166, Institute for the Study of Labor (IZA).
- Daniel Schnitzlein, 2014.
"How important is the family? Evidence from sibling correlations in permanent earnings in the USA, Germany, and Denmark,"
Journal of Population Economics, Springer,
Springer, vol. 27(1), pages 69-89, January.
- Schnitzlein, Daniel D., 2011. "How important is the family? Evidence from sibling correlations in permanent earnings in the US, Germany and Denmark," IWQW Discussion Paper Series 05/2011, Friedrich-Alexander-UniversitÃ¤t Erlangen-NÃ¼rnberg, Institut fÃ¼r Wirtschaftspolitik und Quantitative Wirtschaftsforschung (IWQW).
- Daniel D. Schnitzlein, 2011. "How Important Is the Family?: Evidence from Sibling Correlations in Permanent Earnings in the US, Germany and Denmark," SOEPpapers on Multidisciplinary Panel Data Research 365, DIW Berlin, The German Socio-Economic Panel (SOEP).
- Regina Flake, 2011. "Gender Differences in the Intergenerational Earnings Mobility of Second-Generation Migrants," Ruhr Economic Papers, Rheinisch-WestfÃ¤lisches Institut fÃ¼r Wirtschaftsforschung, Ruhr-UniversitÃ¤t Bochum, UniversitÃ¤t Dortmund, UniversitÃ¤t Duisburg-Essen 0283, Rheinisch-WestfÃ¤lisches Institut fÃ¼r Wirtschaftsforschung, Ruhr-UniversitÃ¤t Bochum, UniversitÃ¤t Dortmund, UniversitÃ¤t Duisburg-Essen.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).
If references are entirely missing, you can add them using this form.