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Immigration, Search and Lost of Skill

Author

Listed:
  • Weiss, Y.
  • Sauer, R.M.
  • Gotlibovski, M.

Abstract

This paper analyzes the process of entry into the Israeli labor market among a panel of highly skilled immigrants who moved from the former USSR to Israel. We estimate a nonstationary, finite horizon search model with exogenous wage growth that is capable of capturing the main features of this process; a speedy entry into the labor force, an initial phase of work at low skill occupations, a gradual occupational upgrading and a sharp increase in wages. The estimated parameters of the model, together with information on the wages of immigrants from earlier waves, allow us to predict an occupational path and associated wages, for each new immigrant, from the time of arrival until retirement.

Suggested Citation

  • Weiss, Y. & Sauer, R.M. & Gotlibovski, M., 1999. "Immigration, Search and Lost of Skill," Papers 26-99, Tel Aviv.
  • Handle: RePEc:fth:teavfo:26-99
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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. Friedberg, Rachel M, 2000. "You Can't Take It with You? Immigrant Assimilation and the Portability of Human Capital," Journal of Labor Economics, University of Chicago Press, vol. 18(2), pages 221-251, April.
    3. David E. Wildasin, 1994. "Income Redistribution and Migration," Canadian Journal of Economics, Canadian Economics Association, vol. 27(3), pages 637-656, August.
    4. George J. Borjas & Stephen J. Trejo, 1991. "Immigrant Participation in the Welfare System," ILR Review, Cornell University, ILR School, vol. 44(2), pages 195-211, January.
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    More about this item

    Keywords

    REGRESSION ANALYSIS ; WAGES ; WORKING SKILLS;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J44 - Labor and Demographic Economics - - Particular Labor Markets - - - Professional Labor Markets and Occupations
    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General

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