The immigrant-native pay gap in Germany
AbstractThis note analyzes income differences between foreigners and natives in Germany. Using social survey data (ALLBUS) for 2012, I use Mincer style quantile regressions and Oaxaca-Blinder decompositions to estimate the size of the income differential. People not born in Germany, have an income lose for about 6,5 to 10 per cent. People with a foreign citizenship have even higher income losses. They face penalties between 8 to 14 percent. Decomposition shows a 9,2 percent difference for immigrants, while most of the gap is unexplained. Individuals without German citizenship have a 15,8 percent difference. Here more of the half remain unexplained.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 50413.
Date of creation: Oct 2013
Date of revision:
immigration; income; pay gap; Germany; ALLBUS;
Find related papers by JEL classification:
- F22 - International Economics - - International Factor Movements and International Business - - - International Migration
- F66 - International Economics - - Economic Impacts of Globalization - - - Labor
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-10-11 (All new papers)
- NEP-LMA-2013-10-11 (Labor Markets - Supply, Demand, & Wages)
- NEP-MIG-2013-10-11 (Economics of Human Migration)
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