The Absorption of Highly Skilled Immigrants: Israel, 1990 - 1995
This paper develops a descriptive methodology for the analysis of wage growth of immigrants, based on human capital theory. The sources of the wage growth are : (i) the rise of the return to imported human capital; (ii) the impact of accumulated experience in the host country; and, (iii) the mobility up the occupational ladder in the host country. We formulate a non-linear model which is estimated, using repeated cross section data.
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