Quality of Work Experience and Economic Development—Estimates using Canadian Immigrant Data
AbstractThere is increasing evidence in the economic development literature that the quality of schooling considerably varies across countries that are at different stages in their economic development. However, an issue that has been overlooked is the role of the quality of work experience in explaining differences in economic development. This paper uses Canadian census data on immigrant earnings to show that per capita GDP in the country of origin can be used as a quality indicator for both education and work experience. Coefficients estimated from immigrant earnings regressions are then used to estimate the effects of difference in human capital quality on development gaps between rich and poor countries. The analysis shows that while differences in the quality of schooling account for substantial differences in living standards across countries, differences in the quality of work experience can account for even more. Policywise, our results suggest that the immediate effects of improving the quality and the quantity of schooling in less-developed countries might be rather limited if labour-market institutions and ways of doing things are not changed at the same time to improve the quality of work experience.
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 University of Ottawa, Department of Economics in its series Working Papers with number 1109E.
Length: 37 pages
Date of creation: 2011
Date of revision:
Contact details of provider:
Postal: PO Box 450, Station A, Ottawa, Ontario, K1N 6N5
Phone: (613) 562-5753
Fax: (613) 562-5999
Web page: http://www.socialsciences.uottawa.ca/eco/eng/index.asp
More information through EDIRC
Quality of human capital; work experience; immigrant earnings; quality of schooling; economic development.;
Find related papers by JEL classification:
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
- O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-01-25 (All new papers)
- NEP-HRM-2012-01-25 (Human Capital & Human Resource Management)
- NEP-LAB-2012-01-25 (Labour Economics)
- NEP-MIG-2012-01-25 (Economics of Human Migration)
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.:
- Eric A. Hanushek & Ludger Woessmann, 2008.
"The Role of Cognitive Skills in Economic Development,"
Journal of Economic Literature,
American Economic Association, vol. 46(3), pages 607-68, September.
- Eric Hanushek & Ludger Woessmann, 2008. "The Role of Cognitive Skills in Economic Development," Discussion Papers 07-034, Stanford Institute for Economic Policy Research.
- Hanushek, Eric A. & Wößmann, Ludger, 2008. "The role of cognitive skills in economic development," Munich Reprints in Economics 20454, University of Munich, Department of Economics.
- Jacob A. Mincer, 1974. "Introduction to "Schooling, Experience, and Earnings"," NBER Chapters, in: Schooling, Experience, and Earnings, pages 1-4 National Bureau of Economic Research, Inc.
- Serge Coulombe & Jean-Francois Tremblay, 2009. "Migration and Skills Disparities across the Canadian Provinces," Regional Studies, Taylor & Francis Journals, vol. 43(1), pages 5-18.
- Bloom, Nicholas & Van Reenen, John, 2010.
"Human Resource Management and Productivity,"
CEPR Discussion Papers
7849, C.E.P.R. Discussion Papers.
- Nicholas Bloom & John Van Reenen, 2010. "Human Resource Management and Productivity," CEP Discussion Papers dp0982, Centre for Economic Performance, LSE.
- Nicholas Bloom & John Van Reenen, 2010. "Human Resource Management and Productivity," NBER Working Papers 16019, National Bureau of Economic Research, Inc.
- Nick Bloom & John Van Reenen, 2010. "Human resource management and productivity," LSE Research Online Documents on Economics 28730, London School of Economics and Political Science, LSE Library.
- Sweetman, Arthur, 2004. "Immigrant Source Country Educational Quality and Canadian Labour Market Outcomes," Analytical Studies Branch Research Paper Series 2004234e, Statistics Canada, Analytical Studies Branch.
- Nicholas Bloom & Christos Genakos & Raffaella Sadun & John Van Reenen, 2012.
"Management Practices Across Firms and Countries,"
NBER Working Papers
17850, National Bureau of Economic Research, Inc.
- de la Fuente, Angel & Doménech, Rafael, 2000.
"Human Capital In Growth Regressions: How Much Difference Does Data Quality Make?,"
CEPR Discussion Papers
2466, C.E.P.R. Discussion Papers.
- Angel de la Fuente & Rafael Doménech, 2006. "Human Capital in Growth Regressions: How Much Difference Does Data Quality Make?," Journal of the European Economic Association, MIT Press, vol. 4(1), pages 1-36, 03.
- ?gel de la Fuente & Rafael Dom?ech, . "Human Capital In Growth Regressions: How Much Difference Does Data Quality Make?," UFAE and IAE Working Papers 446.00, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- Angel de la Fuente & Rafael Donénech, 2000. "Human Capital in Growth Regressions: How much Difference Does Data Quality Make?," OECD Economics Department Working Papers 262, OECD Publishing.
- Chiswick, Barry R. & Miller, Paul W., 2009. "The international transferability of immigrants' human capital," Economics of Education Review, Elsevier, vol. 28(2), pages 162-169, April.
- Jacob A. Mincer, 1974. "Schooling, Experience, and Earnings," NBER Books, National Bureau of Economic Research, Inc, number minc74-1.
- Coulombe Serge & Tremblay Jean-François, 2006. "Literacy and Growth," The B.E. Journal of Macroeconomics, De Gruyter, vol. 6(2), pages 1-34, August.
- Serge Coulombe & Gilles Grenier & Serge Nadeau, 2012. "Human Capital Quality and the Immigrant Wage Gap," Working Papers 1212E, University of Ottawa, Department of Economics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Diane Ritchot).
If references are entirely missing, you can add them using this form.