Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/89835
Authors: 
Miranda, Alfonso
Zhu, Yu
Year of Publication: 
2013
Series/Report no.: 
IZA Discussion Paper 7841
Abstract: 
We investigate the extent to which deficiency at English as measured by English as Additional Language (EAL), contribute to the immigrant-native wage gap for female employees in the UK, controlling for covariates. To deal with the endogeneity of EAL and a substantial problem of self-selection into employment we suggest a 3-step estimator (TSE). The properties of this estimator are investigated in a Monte Carlo simulation study and we show evidence that TSE delivers a consistent and asymptotically normal estimator. We find a large and statistically significant causal effect of EAL on the immigrant-native wage gap for women.
Subjects: 
English as Additional Language (EAL)
immigrant-native wage gap
endogenous treatment
sample selection
JEL: 
J15
J31
J61
C21
Document Type: 
Working Paper

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