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From guests to hosts: a first whole picture of immigrant-native wage differentials in Spain

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  • Muñoz de Bustillo, Rafael
  • Carrera, Miguel
  • Antón, José-Ignacio

Abstract

This article analyses the immigrant-native wage differentials in Spain, which only recently has become a host country. The paper exploits the Earnings Structure Survey 2006, which is the first nationally representative sample of both foreigner and Spaniard employees. Using the Machado-Mata econometric procedure, wage differentials between locals and foreigners are decomposed into the gap related to characteristics and that due to different returns to endowments (i.e., discrimination). We found that, in absolute terms, the latter component grows across wage distribution, reflecting the existence of a kind of glass ceiling consistent with the evidence of over-education found by previous research.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 13928.

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Date of creation: 25 Feb 2009
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Handle: RePEc:pra:mprapa:13928

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Keywords: immigration; wage differentials; Spain; quantile regression;

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  1. Fernandez, Cristina & Ortega, Carolina, 2006. "Labour market assimilation of immigrants in Spain: employment at the expense of bad job-matches?," IESE Research Papers D/644, IESE Business School.
  2. Cristina Fernández & Ana Carolina Ortega Masagué, 2006. "Labor Market Assimilation of Immigrants in Spain: Employment at the Expense of Bad Job-Matches?," Working Papers 2006-21, FEDEA.
  3. Kenneth J. Arrow, 1998. "What Has Economics to Say about Racial Discrimination?," Journal of Economic Perspectives, American Economic Association, vol. 12(2), pages 91-100, Spring.
  4. Barth, Erling & Dale-Olsen, Harald, 2009. "Monopsonistic discrimination, worker turnover, and the gender wage gap," Labour Economics, Elsevier, Elsevier, vol. 16(5), pages 589-597, October.
  5. Sara Rica & Juan Dolado & Vanesa Llorens, 2008. "Ceilings or floors? Gender wage gaps by education in Spain," Journal of Population Economics, Springer, Springer, vol. 21(3), pages 751-776, July.
  6. Amuedo-Dorantes, Catalina & de la Rica, Sara, 2006. "Labor Market Assimilation of Recent Immigrants in Spain," IZA Discussion Papers 2104, Institute for the Study of Labor (IZA).
  7. Javier Gardeazabal & Arantza Ugidos, 2005. "Gender wage discrimination at quantiles," Journal of Population Economics, Springer, Springer, vol. 18(1), pages 165-179, 07.
  8. Barry R. Chiswick & Anh T. Le & Paul W. Miller, 2008. "How Immigrants Fare across the Earnings Distribution in Australia and the United States," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 61(3), pages 353-373, April.
  9. Melly, Blaise, 2005. "Decomposition of differences in distribution using quantile regression," Labour Economics, Elsevier, Elsevier, vol. 12(4), pages 577-590, August.
  10. Juan Canal-Domínguez & César Rodríguez-Gutiérrez, 2008. "Analysis of wage differences between native and immigrant workers in Spain," Spanish Economic Review, Springer, Springer, vol. 10(2), pages 109-134, June.
  11. Raquel Carrasco & Juan Jimeno & A. Ortega, 2008. "The effect of immigration on the labor market performance of native-born workers: some evidence for Spain," Journal of Population Economics, Springer, Springer, vol. 21(3), pages 627-648, July.
  12. Mats Hammarstedt & Ghazi Shukur, 2006. "Immigrants' Relative Earnings in Sweden - A Cohort Analysis," LABOUR, CEIS, CEIS, vol. 20(2), pages 285-323, 06.
  13. Hunt, Priscillia, 2008. "Are immigrants so stuck to the floor that the ceiling is irrelevant?," The Warwick Economics Research Paper Series (TWERPS) 838, University of Warwick, Department of Economics.
  14. Raquel Carrasco & Juan F. Jimeno & Ana Carolina Ortega, 2004. "The Effect Of Immigration On The Employment Opportunities Of Native-Born Workers: Some Evidence For Spain," Economics Working Papers we046122, Universidad Carlos III, Departamento de Economía.
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