Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/30673 
Year of Publication: 
2009
Series/Report no.: 
CESifo Working Paper No. 2683
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
This paper analyses the effects of education signals for Ethnic Germans and Germans without a migration background (Native Germans”). We base our analysis on a sorting model with productivity enhancing effects of education. We compare whether the signalling value differs between the migrants and non-migrants in the German labour market. Starting from the theoretical result that only a separating equilibrium can exist, we find substantial empirical differences between Ethnic and Native Germans with the same formal education level. This empirical analysis is done with a completely new dataset based on administrative data from the German Federal Employment Agency.
Subjects: 
sorting theory
human-capital theory
returns to education
migration
JEL: 
J24
J31
F22
Document Type: 
Working Paper
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