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Labor Mobility Of Immigrants: Training, Experience, Language, And Opportunities

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  • Sarit Cohen-Goldner
  • Zvi Eckstein

Abstract

This article analyzes the labor mobility and human capital accumulation of male immigrants from the former Soviet Union to Israel. We estimate a dynamic choice model for employment and training in blue- and white-collar occupations, where the labor market randomly offered opportunities are affected by past choices. The estimated model accurately reproduces the patterns in the data. The estimated direct earning return to local training, local experience, and knowledge of Hebrew are very high, whereas imported skills have zero (conditional) return. The welfare gain from the impact of training on job offer probabilities is larger than its effect on wages. Copyright © 2008 the Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.

Suggested Citation

  • Sarit Cohen-Goldner & Zvi Eckstein, 2008. "Labor Mobility Of Immigrants: Training, Experience, Language, And Opportunities," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 49(3), pages 837-872, August.
  • Handle: RePEc:ier:iecrev:v:49:y:2008:i:3:p:837-872
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    More about this item

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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