Empirica – Journal of European Economics

Sponsored by the Austrian Economic Association and the Austrian Institute of Economic Research

Empirica publishes empirical and theoretical work on all economic aspects of European Integration. The topics may range from all challenges concerning the deepening of the European Union (Single Market, Lisbon Agenda, EMU) to enlargement and the external relations of the EU (globalisation).

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Santiago Budría, Alberto Colino, Carlos Martínez de Ibarreta
The impact of host language proficiency on employment outcomes among immigrants in Spain
in: Bengt-Arne Wickström, Michele Gazzola, Torsten Templin (Hrsg.), Language skills, the labour market, and socioeconomic integration
Empirica, 2019, 46(4), S.625-652, http://www.springer.com/10663
This paper presents estimates of the impact of host language proficiency on the probability of immigrants having an employment. The article uses data from the Spanish National Immigrant Survey and relies on two complementary econometric approaches, a 2SLS instrumental variable model and a bivariate probit model. Host language proficiency is instrumented using Bleakley and Chin (Rev Econ Stat 86:481-496, 2004) strategy, which exploits the fact that younger children learn languages more easily than older ones. Average treatment effects indicate that host language proficiency raises the probability of having a job by about 15 and 22 percentage points among men and women, respectively. However, local effects can be more than twice as large.
JEL-Codes:F22 J24 J61
Keywords:Immigration Host language proficiency Instrumental variables Biprobit
Forschungsbereich:Arbeitsmarkt, Einkommen und soziale Sicherheit

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Univ.-Prof. Mag. Dr. Fritz Breuss

Funktion: Ökonom (Senior Economist), Managing Editor Empirica