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Assimilation and the earnings of guestworkers in Germany

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  • Pischke, Jörn-Steffen

Abstract

Unlike prototype immigration countries, Germany has attracted a large number of southern Europeans as temporary guestworkers in the 60s and 70s. Nevertheless, many of them have stayed on and intend to remain in Germany. I investigate whether these workers have become successfully integrated into the German labormarket as reflected by their earnings. Analyzing data from the Socioeconomic Panel for the 80s I find that guestworkers earn 20 to 25 percent less than Germans but their earnings do not seem to catch up to the overall mean. This is due to the fact that the guestworkers are almost entirely confined to blue collar positions. Among blue collar workers there is little noticable difference between the earnings of Germans and foreigners. --

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Bibliographic Info

Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 92-17.

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Date of creation: 1992
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Handle: RePEc:zbw:zewdip:9217

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Cited by:
  1. Michael Fertig & Stefanie Schurer, 2007. "Labour Market Outcomes of Immigrants in Germany – The Importance of Heterogeneity and Attrition Bias," Ruhr Economic Papers 0020, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
  2. Sebastian Gundel & Heiko Peters, 2007. "Assimilation and Cohort Effects for German Immigrants," SOEPpapers on Multidisciplinary Panel Data Research 64, DIW Berlin, The German Socio-Economic Panel (SOEP).
  3. Franz, Wolfgang, 1993. "Zur ökonomischen Bedeutung von Wanderungen und den Möglichkeiten und Grenzen einer Einwanderungspolitik," Discussion Papers 3, University of Konstanz, Center for International Labor Economics (CILE).
  4. Velling, Johannes, 1995. "Wage discrimination and occupational segregation of foreign male workers in Germany," ZEW Discussion Papers 95-04, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  5. Florian Lehmer & Johannes Ludsteck, 2012. "Wage Assimilation of Immigrants: Which Factors Close the Gap? – Evidence from Germany," ERSA conference papers ersa12p262, European Regional Science Association.
  6. Bauer, Thomas K. & Lofstrom, Magnus & Zimmermann, Klaus F., 2000. "Immigration Policy, Assimilation of Immigrants and Natives' Sentiments towards Immigrants: Evidence from 12 OECD-Countries," IZA Discussion Papers 187, Institute for the Study of Labor (IZA).
  7. Licht, Georg & Steiner, Viktor, 1993. "Assimilation, labour market experience, and earnings profiles of temporary and permanent immigrant workers in germany," ZEW Discussion Papers 93-06, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.

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