Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/36300 
Year of Publication: 
2010
Series/Report no.: 
IZA Discussion Papers No. 4716
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
This paper investigates the transferability of human capital across countries and the contribution of imperfect human capital portability to the explanation of the immigrant-native wage gap. Using data for West Germany, our results reveal that, overall, education and labor market experience accumulated in the home countries of the immigrants receive significantly lower returns than human capital obtained in Germany. We further find evidence for heterogeneity in the returns to human capital of immigrants across origin countries. Finally, imperfect human capital transferability appears to be a major factor in explaining the wage differential between natives and immigrants.
Subjects: 
Human capital
rate of return
immigration
assimilation
JEL: 
J61
J31
J24
Document Type: 
Working Paper

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