Selection Criteria and the Skill Composition of Immigrants: A Comparative Analysis of Australian and U.S. Employment Immigration
This paper uses survey data on employment immigrants in Australia and the United States to identify the main determinants of the size and skill composition of employment immigrants to developed countries. Our approach emphasizes the key roles of world prices of skills and country proximity. Our empirical results are consistent with the view that these factors, rather than the nuances of selection systems, dominate. There are five main findings: (1) Higher skill prices in sending countries decrease the number of immigrants but increase their average schooling. (2) More-distant countries send fewer but more skilled immigrants. (3) Given skill prices and proximity, countries with higher income send more immigrants, of lower skill. (4) Within a sending country, Australia attracts less total but higher-skill migrants than does the United States. This can be attributed, however, to the fact that the skill price in Australia is lower than the U.S. skill price, so that immigration gains are greater from immigrating to United States. (5) The estimated coefficients determining migration flows to Australia and the United States are the same for both countries. We conclude that geography thus matters in the sense that who a country’s neighbors are, in terms of their level and type of development, has a significant effect on the size and skill composition of employment migrants. There is no evidence that the differences in the selection mechanism used to screen employment migrants in the two countries play a significant role in affecting the characteristics of skill migration.
|Date of creation:||Jun 2008|
|Publication status:||published in: Jagdish Bhagwati and Gordon H. Hanson (eds.), Skilled Migration Today: Phenomenon, Prospects, Problems, Policies. New York: Oxford, 2009|
|Contact details of provider:|| Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany|
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
|Order Information:|| Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lee, Jong-Wha & Barro, Robert J, 2001.
"Schooling Quality in a Cross-Section of Countries,"
London School of Economics and Political Science, vol. 68(272), pages 465-488, November.
- Jong-Wha Lee & Robert J. Barro, 1997. "Schooling Quality in a Cross Section of Countries," NBER Working Papers 6198, National Bureau of Economic Research, Inc.
- Lee, J.-W. & Barro, R.J., 1998. "Schooling Quality in a Cross Section of Countries," Papers 659, Harvard - Institute for International Development.
- Jasso, Guillermina & Rosenzweig, Mark R, 1990. "Self-Selection and the Earnings of Immigrants: Comment," American Economic Review, American Economic Association, vol. 80(1), pages 298-304, March.
- Guillermina Jasso & Douglas Massey & Mark Rosenzweig & James Smith, 2000. "The new immigrant survey pilot (NIS-P): Overview and new findings about U.S. Legal immigrants at admission," Demography, Springer;Population Association of America (PAA), vol. 37(1), pages 127-138, February.
- Guillermina Jasso & Douglas S. Massey & Mark R. Rosenzweig & James P. Smith, 2004. "The New Immigrant Survey Pilot (NIS-P): Overview and New Findings about U.S. Legal Immigrants at Admission," Labor and Demography 0403002, EconWPA.
- Chiswick, Barry R, 1978. "The Effect of Americanization on the Earnings of Foreign-born Men," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 897-921, October.
- Barro, Robert J. & Lee, Jong-Wha, 1993. "International comparisons of educational attainment," Journal of Monetary Economics, Elsevier, vol. 32(3), pages 363-394, December.
- Robert J. Barro & Jong-Wha Lee, 1993. "International Comparisons of Educational Attainment," NBER Working Papers 4349, National Bureau of Economic Research, Inc.
- Barry R. Chiswick, 1999. "Are Immigrants Favorably Self-Selected? An Economic Analysis," University of Chicago - George G. Stigler Center for Study of Economy and State 147, Chicago - Center for Study of Economy and State.
- Chiswick, Barry R., 2000. "Are Immigrants Favorably Self-Selected? An Economic Analysis," IZA Discussion Papers 131, Institute for the Study of Labor (IZA).
- Lalonde, Robert J. & Topel, Robert H., 1993. "Economic impact of international migration and the economic performance of migrants," Handbook of Population and Family Economics,in: M. R. Rosenzweig & Stark, O. (ed.), Handbook of Population and Family Economics, edition 1, volume 1, chapter 14, pages 799-850 Elsevier.
- Robert J. LaLonde & Robert H. Topel, 1994. "Economic Impact of International Migrationand the Economic Performance of Migrants," University of Chicago - George G. Stigler Center for Study of Economy and State 96, Chicago - Center for Study of Economy and State.
- Borjas, George J, 1987. "Self-Selection and the Earnings of Immigrants," American Economic Review, American Economic Association, vol. 77(4), pages 531-553, September.
When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp3564. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak)
If references are entirely missing, you can add them using this form.