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The Absorption of Highly Skilled Immigrants: Israel, 1990-1995


  • Eckstein, Z.
  • Weiss, Y.


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.

Suggested Citation

  • Eckstein, Z. & Weiss, Y., 1998. "The Absorption of Highly Skilled Immigrants: Israel, 1990-1995," Papers 03-98, Tel Aviv.
  • Handle: RePEc:fth:teavfo:03-98

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    References listed on IDEAS

    1. Razin, Assaf & Sadka, Efraim & Yuen, Chi-Wa, 1998. "A pecking order of capital inflows and international tax principles," Journal of International Economics, Elsevier, vol. 44(1), pages 45-68, February.
    2. Gordon, Roger H & Bovenberg, A Lans, 1996. "Why Is Capital So Immobile Internationally? Possible Explanations and Implications for Capital Income Taxation," American Economic Review, American Economic Association, vol. 86(5), pages 1057-1075, December.
    3. Jacob Frenkel & Assaf Razin & Efraim Sadka, 1991. "International Taxation in an Integrated World," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262061430, January.
    4. Stiglitz, Joseph E & Weiss, Andrew, 1981. "Credit Rationing in Markets with Imperfect Information," American Economic Review, American Economic Association, vol. 71(3), pages 393-410, June.
    5. Zhaohui Chen & Mohsin S. Khan, 1997. "Patterns of Capital Flows to Emerging Markets; A Theoretical Perspective," IMF Working Papers 97/13, International Monetary Fund.
    6. Bester, Helmut, 1985. "Screening vs. Rationing in Credit Markets with Imperfect Information," American Economic Review, American Economic Association, vol. 75(4), pages 850-855, September.
    7. George A. Akerlof, 1970. "The Market for "Lemons": Quality Uncertainty and the Market Mechanism," The Quarterly Journal of Economics, Oxford University Press, vol. 84(3), pages 488-500.
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    Cited by:

    1. Yamauchi, Futoshi, 2003. "Are experience and schooling complementary?," FCND discussion papers 166, International Food Policy Research Institute (IFPRI).
    2. Gil S. Epstein & Dalit Gafni & Erez Siniver, 2014. "Even Education and Experience Has Its Limits: Closing the Wage Gap," Working Papers 2014-14, Bar-Ilan University, Department of Economics.
    3. Repetto, Gaston & Chiswick, Barry R., 2000. "Immigrant Adjustment in Israel: Literacy and Fluency in Hebrew and Earnings," IZA Discussion Papers 177, Institute for the Study of Labor (IZA).

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    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials


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