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Can an Ethnic Group Climb Up from the Bottom of the Ladder?

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  • Epstein, Gil S.

    ()
    (Bar-Ilan University)

  • Siniver, Erez

    ()
    (College of Management, Rishon Lezion Campus)

Abstract

Studies in the US have shown that black immigrants have remained at the bottom of the wage ladder and that other groups of immigrants have overtaken them over time. The goal of this research is to determine whether a specific group of immigrants can displace a group at the bottom of the ladder. We use Israeli data to compare two ethnic groups: Israeli Arabs and Ethiopian immigrants. Israeli Arabs were considered to be the least successful ethnic group in the Israeli labor market until they were displaced by the Ethiopian immigrants. The results of our analysis show that an ethnic group at the bottom of the wage ladder can be replaced by another.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 6796.

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Length: 29 pages
Date of creation: Aug 2012
Date of revision:
Publication status: published in: Economics Bulletin, 2012, 32(3), 2414-2441
Handle: RePEc:iza:izadps:dp6796

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Keywords: immigrants; wage differences;

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  1. Gil S. Epstein & Tikva Lecker, 2001. "Multi-Generation Model of Immigrant Earnings: Theory and Application," Working Papers 2001-06, Department of Economics, Bar-Ilan University.
  2. Berman, Eli & Lang, Kevin & Siniver, Erez, 2003. "Language-skill complementarity: returns to immigrant language acquisition," Labour Economics, Elsevier, vol. 10(3), pages 265-290, June.
  3. Borjas, George J, 1985. "Assimilation, Changes in Cohort Quality, and the Earnings of Immigrants," Journal of Labor Economics, University of Chicago Press, vol. 3(4), pages 463-89, October.
  4. Borjas, George J, 1987. "Self-Selection and the Earnings of Immigrants," American Economic Review, American Economic Association, vol. 77(4), pages 531-53, September.
  5. Gil S. Epstein & Ira N. Gang, 2010. "A Political Economy of the Immigrant Assimilation: Internal Dynamics," Working Papers 2010-13, Department of Economics, Bar-Ilan University.
  6. Cohen Goldner, Sarit & Eckstein, Zvi, 2002. "Labor Mobility of Immigrants: Training, Experience, Language and Opportunities," IZA Discussion Papers 519, Institute for the Study of Labor (IZA).
  7. Barry R. Chiswick, 1998. "Hebrew language usage: Determinants and effects on earnings among immigrants in Israel," Journal of Population Economics, Springer, vol. 11(2), pages 253-271.
  8. Cohen-Goldner, Sarit & Eckstein, Zvi, 2004. "Estimating the Return to Training and Occupational Experience: The Case of Female Immigrants," CEPR Discussion Papers 4603, C.E.P.R. Discussion Papers.
  9. Gil Epstein & Ira Gang, 2010. "Migration and Culture," CReAM Discussion Paper Series 1020, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  10. Epstein, Gil S., 2002. "Informational Cascades and Decision to Migrate," IZA Discussion Papers 445, Institute for the Study of Labor (IZA).
  11. Chiswick, Barry R, 1991. "Speaking, Reading, and Earnings among Low-Skilled Immigrants," Journal of Labor Economics, University of Chicago Press, vol. 9(2), pages 149-70, April.
  12. Gilles Grenier, 1984. "The Effects of Language Characteristics on the Wages of Hispanic-American Males," Journal of Human Resources, University of Wisconsin Press, vol. 19(1), pages 35-52.
  13. Thomas Bauer & Gil S. Epstein & Ira N. Gang, 2009. "Measuring ethnic linkages among migrants," International Journal of Manpower, Emerald Group Publishing, vol. 30(1/2), pages 56-69, May.
  14. Nasser Daneshvary & R. Schwer, 1994. "Black immigrants in the U.S. labor market: An earnings analysis," The Review of Black Political Economy, Springer, vol. 22(3), pages 77-98, March.
  15. McManus, Walter & Gould, William & Welch, Finis, 1983. "Earnings of Hispanic Men: The Role of English Language Proficiency," Journal of Labor Economics, University of Chicago Press, vol. 1(2), pages 101-30, April.
  16. Geoffrey Carliner, 1981. "Wage Differences by Language Group and the Market for Language Skills in Canada," Journal of Human Resources, University of Wisconsin Press, vol. 16(3), pages 384-399.
  17. McManus, Walter S, 1985. "Labor Market Costs of Language Disparity: An Interpretation of Hispanic Earnings Differences," American Economic Review, American Economic Association, vol. 75(4), pages 818-27, September.
  18. Geoffrey Carliner, 1995. "The Language Ability of U.S. Immigrants: Assimilation and Cohort Effects," NBER Working Papers 5222, National Bureau of Economic Research, Inc.
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