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Immigrant Selection Systems and Occupational Outcomes of International Medical Graduates in Canada and the United States

Author

Listed:
  • James Ted McDonald

    () (University of New Brunswick)

  • Casey Warman

    () (Queen's University)

  • Christopher Worswick

    () (Carleton University)

Abstract

We analyze the process of immigrant selection and occupational outcomes of International Medical Graduates (IMGs) in the US and Canada. We extend the IMG relicensing model of Kugler and Sauer (2005) to incorporate two different approaches to immigrant selection: employer nomination systems and point systems. Analysis of the model indicates that point systems can allow IMGs to immigrate who would be unable to gain entry to the receiving country under an employer nomination system and who are subsequently unable to relicense and work as physicians in the receiving country. We apply the model to the case of IMGs migrating to the US and Canada since the 1960s and evaluate the empirical predictions from the model based on an analysis of the occupational outcomes of IMGs in Canada (where a point system has been in place) and in the US (where IMGs enter through employer nomination). In Canada, IMGs are less likely to be employed as a physician than are IMGs in the US and a large percentage of the IMGs in Canada either find work in lower skill occupations or are not employed. The empirical findings are consistent with our hypotheses based on the theoretical framework on the effects of immigrant selection systems on the probability of working as a physician in the two countries.

Suggested Citation

  • James Ted McDonald & Casey Warman & Christopher Worswick, 2011. "Immigrant Selection Systems and Occupational Outcomes of International Medical Graduates in Canada and the United States," Working Papers 1285, Queen's University, Department of Economics.
  • Handle: RePEc:qed:wpaper:1285
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    File URL: http://qed.econ.queensu.ca/working_papers/papers/qed_wp_1285.pdf
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    References listed on IDEAS

    as
    1. Susumu Imai & Derek Stacey & Casey Warman, 2011. "From Engineer to Taxi Driver? Occupational Skills and the Economic Outcomes of Immigrants," Working Papers 1275, Queen's University, Department of Economics.
    2. David J . Bashaw & John S . Heywood, 2001. "The Gender Earnings Gap for US Physicians: Has Equality been Achieved?," LABOUR, CEIS, vol. 15(3), pages 371-391, September.
    3. Mark C. Regets & Harriet Orcutt Duleep, 1999. "Immigrants and Human-Capital Investment," American Economic Review, American Economic Association, vol. 89(2), pages 186-191, May.
    4. Heather Antecol & Deborah A. Cobb-Clark & Stephen J. Trejo, 2001. "The Skills of Female Immigrants to Australia, Canada, and the United States," Claremont Colleges Working Papers 2001-12, Claremont Colleges.
    5. Adriana D. Kugler & Robert M. Sauer, 2005. "Doctors without Borders? Relicensing Requirements and Negative Selection in the Market for Physicians," Journal of Labor Economics, University of Chicago Press, vol. 23(3), pages 437-466, July.
    6. George J. Borjas, 1993. "Immigration Policy, National Origin, and Immigrant Skills: A Comparison of Canada and the United States," NBER Chapters,in: Small Differences That Matter: Labor Markets and Income Maintenance in Canada and the United States, pages 21-44 National Bureau of Economic Research, Inc.
    7. repec:eme:rleczz:s0147-9121(07)00009-x is not listed on IDEAS
    8. Heather Antecol & Deborah A. Cobb-Clark & Stephen J. Trejo, 2003. "Immigration Policy and the Skills of Immigrants to Australia, Canada, and the United States," Journal of Human Resources, University of Wisconsin Press, vol. 38(1).
    9. Abdurrahman Aydemir & Mikal Skuterud, 2005. "Explaining the deteriorating entry earnings of Canada's immigrant cohorts, 1966 - 2000," Canadian Journal of Economics, Canadian Economics Association, vol. 38(2), pages 641-672, May.
    10. Hinte, Holger & Rinne, Ulf & Zimmermann, Klaus F., 2011. "Report No. 35: Ein Punktesystem zur bedarfsorientierten Steuerung der Zuwanderung nach Deutschland," IZA Research Reports 35, Institute for the Study of Labor (IZA).
    11. Charles M. Beach & Alan G. Green & Christopher Worswick, 2007. "Impacts of the Point System and Immigration Policy Levers on Skill Characteristics of Canadian Immigrants," Research in Labor Economics,in: Immigration, volume 27, pages 349-401 Emerald Publishing Ltd.
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    Citations

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    Cited by:

    1. Michel Grignon & Yaw Owusu & Arthur Sweetman, 2013. "The international migration of health professionals," Chapters,in: International Handbook on the Economics of Migration, chapter 4, pages 75-97 Edward Elgar Publishing.
    2. Grubel, Herbert & Grady, Patrick, 2012. "Fiscal transfers to immigrants in Canada: responding to critics and a revised estimate," MPRA Paper 37406, University Library of Munich, Germany, revised 06 Mar 2012.
    3. Neeraj Kaushal & Yao Lu & Nicole Denier & Julia Shu-Huah Wang & Stephen J. Trejo, 2016. "Immigrant employment and earnings growth in Canada and the USA: evidence from longitudinal data," Journal of Population Economics, Springer;European Society for Population Economics, vol. 29(4), pages 1249-1277, October.
    4. Christopher Worswick, "undated". "Improving Immigrant Selection: Further Changes Are Required Before Increasing Inflows," e-briefs 157, C.D. Howe Institute.
    5. repec:bla:coecpo:v:35:y:2017:i:1:p:216-231 is not listed on IDEAS

    More about this item

    Keywords

    physicians; immigration; occupation; skills; human capital;

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • 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
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • J80 - Labor and Demographic Economics - - Labor Standards - - - General

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