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

Author

Listed:
  • 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.

Suggested Citation

  • Muñoz de Bustillo, Rafael & Carrera, Miguel & Antón, José-Ignacio, 2009. "From guests to hosts: a first whole picture of immigrant-native wage differentials in Spain," MPRA Paper 13928, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:13928
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    File URL: https://mpra.ub.uni-muenchen.de/13928/1/MPRA_paper_13928.pdf
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    References listed on IDEAS

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    1. Barry R. Chiswick & Anh T. Le & Paul W. Miller, 2008. "How Immigrants Fare across the Earnings Distribution in Australia and the United States," ILR Review, Cornell University, ILR School, vol. 61(3), pages 353-373, April.
    2. Melly, Blaise, 2005. "Decomposition of differences in distribution using quantile regression," Labour Economics, Elsevier, vol. 12(4), pages 577-590, August.
    3. Barth, Erling & Dale-Olsen, Harald, 2009. "Monopsonistic discrimination, worker turnover, and the gender wage gap," Labour Economics, Elsevier, vol. 16(5), pages 589-597, October.
    4. 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.
    5. Sara Rica & Juan Dolado & Vanesa Llorens, 2008. "Ceilings or floors? Gender wage gaps by education in Spain," Journal of Population Economics, Springer;European Society for Population Economics, vol. 21(3), pages 777-778, July.
    6. Cristina Fernández & Carolina Ortega, 2008. "Labor market assimilation of immigrants in Spain: employment at the expense of bad job-matches?," Spanish Economic Review, Springer;Spanish Economic Association, vol. 10(2), pages 83-107, June.
    7. 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;European Society for Population Economics, vol. 21(3), pages 627-648, July.
    8. Javier Gardeazabal & Arantza Ugidos, 2005. "Gender wage discrimination at quantiles," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(1), pages 165-179, July.
    9. Raquel Carrasco & Juan Ramón García & Ana Carolina Ortega, "undated". "The Effect of Immigration on the Employment Opportunities of Native-Born Workers: Some Evidence for Spain," Working Papers 2004-17, FEDEA.
    10. Mats Hammarstedt & Ghazi Shukur, 2006. "Immigrants' Relative Earnings in Sweden — A Cohort Analysis," LABOUR, CEIS, vol. 20(2), pages 285-323, June.
    11. Juan Canal-Domínguez & César Rodríguez-Gutiérrez, 2008. "Analysis of wage differences between native and immigrant workers in Spain," Spanish Economic Review, Springer;Spanish Economic Association, vol. 10(2), pages 109-134, June.
    12. 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.
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    Cited by:

    1. José Antonio Alonso & Rodolfo Gutiérrez, 2010. "Lengua y emigración: España y el español en las migraciones internacionales," Documentos de Trabajo del Instituto Complutense de Estudios Internacionales 14-10, Universidad Complutense de Madrid, Instituto Complutense de Estudios Internacionales.

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    More about this item

    Keywords

    immigration; wage differentials; Spain; quantile regression;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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