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Immigrant Over- and Under-education: The Role of Home Country Labour Market Experience

Author

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  • Piracha, Matloob

    () (University of Kent)

  • Tani, Massimiliano

    () (University of New South Wales)

  • Vadean, Florin

    () (University of Kent)

Abstract

The cause of immigrant education mismatch in the host country labour market might not necessarily be discrimination or imperfect transferability of human capital, as argued in previous studies. Immigrants who have gained professional experience in the home country in jobs below their education level might be assessed by host country employers as having lower abilities and skills than those expected from their educational qualifications. Using the Longitudinal Survey of Immigrants to Australia we show that a significant part of the variation in the immigrants' probability to be over-/under-educated in the Australian labour market can be explained by having been over-/under-educated in the last job in the home country.

Suggested Citation

  • Piracha, Matloob & Tani, Massimiliano & Vadean, Florin, 2010. "Immigrant Over- and Under-education: The Role of Home Country Labour Market Experience," IZA Discussion Papers 5302, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp5302
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    Cited by:

    1. Pernilla Joona & Nabanita Gupta & Eskil Wadensjö, 2014. "Overeducation among immigrants in Sweden: incidence, wage effects and state dependence," IZA Journal of Migration, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-23, December.
    2. Eleni Kalfa & Matloob Piracha, 2017. "Immigrants’ educational mismatch and the penalty of over-education," Education Economics, Taylor & Francis Journals, vol. 25(5), pages 462-481, September.
    3. 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).
    4. Massimiliano Tani & Christopher Heaton & Gavin Chan, 2013. "The Wage Premium of Foreign Education: New Evidence from Australia," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 46(4), pages 395-404, December.
    5. Mesbah Sharaf, 2013. "The earnings of immigrants and the quality adjustment of immigrant human capital," IZA Journal of Migration, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 2(1), pages 1-18, December.
    6. Matloob Piracha & Florin Vadean, 2013. "Migrant educational mismatch and the labor market," Chapters,in: International Handbook on the Economics of Migration, chapter 9, pages 176-192 Edward Elgar Publishing.
    7. Stefano Visintin & Kea Tijdens & Maarten van Klaveren, 2015. "Skill mismatch among migrant workers: evidence from a large multi-country dataset," IZA Journal of Migration, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-34, December.
    8. Cim, Merve & Kind, Michael Sebastian & Kleibrink, Jan, 2017. "Occupational mismatch of immigrants in Europe: The role of education and cognitive skills," Ruhr Economic Papers 687, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    9. Theo Sparreboom & Alexander Tarvid, 2016. "Imbalanced Job Polarization and Skills Mismatch in Europe," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 49(1), pages 15-42, July.
    10. 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).
    11. Carroll, David & Tani, Massimiliano, 2013. "Over-education of recent higher education graduates: New Australian panel evidence," Economics of Education Review, Elsevier, vol. 32(C), pages 207-218.
    12. Carroll, David & Tani, Massimiliano, 2011. "Labour Market Under-Utilisation of Recent Higher Education Graduates: New Australian Panel Evidence," IZA Discussion Papers 6047, Institute for the Study of Labor (IZA).
    13. Seamus McGuinness & Delma Byrne, 2015. "Born abroad and educated here: examining the impacts of education and skill mismatch among immigrant graduates in Europe," IZA Journal of Migration, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-30, December.
    14. repec:bla:coecpo:v:35:y:2017:i:1:p:216-231 is not listed on IDEAS

    More about this item

    Keywords

    education-occupation mismatch; sample selection; immigrants;

    JEL classification:

    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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