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Language knowledge and earnings in Catalonia

  • Antonio Di Paolo

    ()

    (Departament d'Economia Aplicada, Universitat Autonoma de Barcelona)

  • Josep Lluís Raymond

    ()

    (Departament d'Economia Aplicada, Universitat Autonoma de Barcelona)

In this paper we are aimed to investigate the relationship between Catalan knowledge and individual earnings in Catalonia. Using data from 2006, we find a positive earning return to Catalan proficiency; however, when accounting for self-selection into Catalan knowledge, we find a higher language return (20% of extra earnings), suggesting that individuals who are more prone to know Catalan are also less remunerated than others (negative selection effect). Moreover, we also find important complementarities between language knowledge and completed education, which means that only more educated individuals benefit from Catalan knowledge.

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File URL: http://www.ecap.uab.es/RePEc/doc/wpdea1001.pdf
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Paper provided by Department of Applied Economics at Universitat Autonoma of Barcelona in its series Working Papers with number wpdea1001.

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Length: 32 pages
Date of creation: Feb 2010
Date of revision:
Handle: RePEc:uab:wprdea:wpdea1001
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  1. Lindley, Joanne, 2002. "The English Language Fluency and Earnings of Ethnic Minorities in Britain," Scottish Journal of Political Economy, Scottish Economic Society, vol. 49(4), pages 467-87, September.
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  3. Núria Quella & Silvio Rendon, 2012. "Occupational selection in multilingual labor markets: the case of Catalonia," International Journal of Manpower, Emerald Group Publishing, vol. 33(8), pages 918-937, July.
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  13. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January.
  14. Kevin Lang & Erez Siniver, 2006. "The Return To English In A Non-English Speaking Country: Russian Immigrants And Native Israelis In Israel," Boston University - Department of Economics - Working Papers Series WP2006-033, Boston University - Department of Economics.
  15. Aldashev, Alisher & Gernandt, Johannes & Thomsen, Stephan L., 2009. "Language usage, participation, employment and earnings: Evidence for foreigners in West Germany with multiple sources of selection," Labour Economics, Elsevier, vol. 16(3), pages 330-341, June.
  16. Christian Dustmann & Arthur van Soest, 2001. "Language Fluency And Earnings: Estimation With Misclassified Language Indicators," The Review of Economics and Statistics, MIT Press, vol. 83(4), pages 663-674, November.
  17. Izquierdo, Mario & Lacuesta, Aitor & Vegas, Raquel, 2009. "Assimilation of immigrants in Spain: A longitudinal analysis," Labour Economics, Elsevier, vol. 16(6), pages 669-678, December.
  18. Chiswick, Barry R & Miller, Paul W, 1995. "The Endogeneity between Language and Earnings: International Analyses," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 246-88, April.
  19. Christian Dustmann & Arthur Van Soest, 2002. "Language and the Earnings of Immigrants," ILR Review, Cornell University, ILR School, vol. 55(3), pages 473-492, April.
  20. Barry Chiswick & Paul Miller, 2001. "A model of destination-language acquisition: Application to male immigrants in Canada," Demography, Springer, vol. 38(3), pages 391-409, August.
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