Language Usage, Participation, Employment and Earnings
AbstractLanguage ability may not only affect the earnings of the individual, but the participation to participate in the labor market or becoming employed as well. It may also affect selection of people into economic sectors and occupation. In this paper the effects of language ability on earnings are analyzed for foreigners in Germany with joint consideration of up to four types of self-selection. The results show that language profciency signifcantly increases participation and employment probability and affects earnings directly. However, when self-selection into economic sectors and occupation is regarded, the direct effects of language ability on earnings vanish.
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Bibliographic InfoPaper provided by Otto-von-Guericke University Magdeburg, Faculty of Economics and Management in its series FEMM Working Papers with number 07018.
Length: 26 pages
Date of creation: Sep 2007
Date of revision:
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More information through EDIRC
Migration; Language Ability; Multiple Selection; Selection Bias; Germany;
Find related papers by JEL classification:
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- I12 - Health, Education, and Welfare - - Health - - - Health Production
- J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-09-16 (All new papers)
- NEP-LAB-2007-09-16 (Labour Economics)
- NEP-MIG-2007-09-16 (Economics of Human Migration)
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