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Unemployment Dynamics among Migrants and Natives

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  • Arne Uhlendorff
  • Klaus F. Zimmermann

Abstract

Unemployment rates are often higher for migrants than for natives. This could result from longer periods of unemployment as well as from shorter periods of employment. This paper jointly examines male native-migrant differences in the duration of unemployment and subsequent employment using German panel data and bivariate discrete time hazard rate models. Compared to natives with the same observable and unobservable characteristics, unemployed migrants do not find less stable positions but they need more time to find these jobs. The probability of leaving unemployment also varies strongly between ethnicities, while first and second generation Turks are identified as the major problem group. Therefore, policy should concentrate on the job finding process of Turkish migrants to fight their disadvantages on the labor market.

Suggested Citation

  • Arne Uhlendorff & Klaus F. Zimmermann, 2006. "Unemployment Dynamics among Migrants and Natives," Discussion Papers of DIW Berlin 617, DIW Berlin, German Institute for Economic Research.
  • Handle: RePEc:diw:diwwpp:dp617
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    References listed on IDEAS

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    1. Heckman, James & Singer, Burton, 1984. "A Method for Minimizing the Impact of Distributional Assumptions in Econometric Models for Duration Data," Econometrica, Econometric Society, vol. 52(2), pages 271-320, March.
    2. Roed, Knut & Zhang, Tao, 2005. "Unemployment duration and economic incentives--a quasi random-assignment approach," European Economic Review, Elsevier, vol. 49(7), pages 1799-1825, October.
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    6. Ann Huff Stevens, 1999. "Climbing out of Poverty, Falling Back in: Measuring the Persistence of Poverty Over Multiple Spells," Journal of Human Resources, University of Wisconsin Press, vol. 34(3), pages 557-588.
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    Citations

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    Cited by:

    1. Carrasco, Raquel & García Pérez, J. Ignacio, 2008. "Unemployment duration among immigrants and natives: unobserved heterogeneity in a multi-spell duration model," UC3M Working papers. Economics we086933, Universidad Carlos III de Madrid. Departamento de Economía.
    2. Amelie F. Constant & Annabelle Krause & Ulf Rinne & Klaus F. Zimmermann, 2017. "Reservation wages of first- and second-generation migrants," Applied Economics Letters, Taylor & Francis Journals, vol. 24(13), pages 945-949, July.
    3. Robert C. M. Beyer, 2017. "The Performance of Immigrants in the German Labor Market," SOEPpapers on Multidisciplinary Panel Data Research 892, DIW Berlin, The German Socio-Economic Panel (SOEP).
    4. Stefanie Schurer, 2008. "Labour Market Outcomes of Second Generation Immigrants: How Heterogeneous Are They Really?," Melbourne Institute Working Paper Series wp2008n14, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    5. Amelie F. Constant & Martin Kahanec & Ulf Rinne & Klaus F. Zimmermann, 2011. "Ethnicity, job search and labor market reintegration of the unemployed," International Journal of Manpower, Emerald Group Publishing, vol. 32(7), pages 753-776, October.
    6. Rothe, Thomas & Wälde, Klaus, 2017. "Where did all the unemployed go? : Non-standard work in Germany after the Hartz reforms," IAB Discussion Paper 201718, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    7. Aleksynska, Mariya, 2007. "Civic Participation of Immigrants: Culture Transmission and Assimilation," MPRA Paper 4594, University Library of Munich, Germany.
    8. Höhne, Jutta & Koopmans, Ruud, 2010. "Host-country cultural capital and labour market trajectories of migrants in Germany: The impact of host-country orientation and migrant-specific human and social capital on labour market transitions," Discussion Papers, Research Unit: Migration, Integration, Transnationalization SP IV 2010-701, Social Science Research Center Berlin (WZB).
    9. Bruder, Jana & Frosch, Katharina, 2006. "Foreign nationality and age: A double drawback for reemployment in Germany?," Thuenen-Series of Applied Economic Theory 63, University of Rostock, Institute of Economics.
    10. Brenner, Jan, 2010. "Life-cycle variations in the association between current and lifetime earnings: Evidence for German natives and guest workers," Labour Economics, Elsevier, vol. 17(2), pages 392-406, April.
    11. Anja Köbrich León, 2013. "Does Cultural Heritage Affect Employment Decisions: Empirical Evidence for First- and Second Generation Immigrants in Germany," SOEPpapers on Multidisciplinary Panel Data Research 553, DIW Berlin, The German Socio-Economic Panel (SOEP).
    12. Achatz, Juliane & Trappmann, Mark, 2011. "Arbeitsmarktvermittelte Abgänge aus der Grundsicherung : der Einfluss von personen- und haushaltsgebundenen Barrieren," IAB Discussion Paper 201102, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    13. Amelie F. Constant & Annabelle Krause & Ulf Rinne & Klaus F. Zimmermann, 2011. "Economic preferences and attitudes of the unemployed: Are natives and second generation migrants alike?," International Journal of Manpower, Emerald Group Publishing, vol. 32(7), pages 825-851, October.
    14. Falcke, Swantje & Meng, Christoph & Nollen, Romy, 2016. "Educational mismatches for second generation migrants. An analysis of applied science graduates in the Netherlands," Research Memorandum 028, Maastricht University, Graduate School of Business and Economics (GSBE).
    15. Bijwaard, G.E., 2009. "Labour Market Status and Migration Dynamics," Econometric Institute Research Papers EI 2009-25, Erasmus University Rotterdam, Erasmus School of Economics (ESE), Econometric Institute.
    16. Anja Koebrich Leon, 2013. "Does Cultural Heritage affect Employment decisions – Empirical Evidence for Second Generation Immigrants in Germany," Working Paper Series in Economics 270, University of Lüneburg, Institute of Economics.
    17. Falcke, Swantje & Meng, Christoph & Nollen, Romy, 2016. "Educational mismatches for second generation migrants. An analysis of applied science graduates in the Netherlands," ROA Research Memorandum 010, Maastricht University, Research Centre for Education and the Labour Market (ROA).
    18. Lumpe, Christian & Lumpe, Claudia & Meckl, Jürgen, 2016. "Social status and public expectations: Self-selection of high-skilled migrants," Ruhr Economic Papers 614, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    19. Carrasco, Raquel & García-Pérez, J. Ignacio, 2012. "Economic Conditions and Employment Dynamics of Immigrants versus Natives: Who Pays the Costs of the "Great Recession"?," UC3M Working papers. Economics we1232, Universidad Carlos III de Madrid. Departamento de Economía.
    20. Fertig, Michael & Schurer, Stefanie, 2007. "Labour Market Outcomes of Immigrants in Germany – The Importance of Heterogeneity and Attrition Bias," Ruhr Economic Papers 20, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    21. repec:iza:izawol:journl:y:2017:n:376 is not listed on IDEAS
    22. Frosch, Katharina, 2006. "Reemployment rates over the life course: Is there still hope after late career job loss?," Thuenen-Series of Applied Economic Theory 64, University of Rostock, Institute of Economics.
    23. Eichhorst, Werner & Giulietti, Corrado & Guzi, Martin & Kendzia, Michael J. & al., et, 2011. "Report No. 40: The Integration of Migrants and its Effects on the Labour Market," IZA Research Reports 40, Institute for the Study of Labor (IZA).
    24. Aleksynska, Mariya, 2011. "Civic participation of immigrants in Europe: Assimilation, origin, and destination country effects," European Journal of Political Economy, Elsevier, vol. 27(3), pages 566-585, September.
    25. NAGORE GARCIA Amparo & VAN SOEST Arthur, 2016. "Unemployment Exits Before and During the Crisis," LISER Working Paper Series 2016-14, LISER.

    More about this item

    Keywords

    Unemployment duration; employment stability; bivariate hazard rate models; migration; ethnicity;

    JEL classification:

    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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