Returns to pre-immigration education for non-western immigrants: Why so low?

The main purpose of this paper is to analyse the return to pre-immigration education for non-western immigrants, and explain why it is so low. Returns to one extra year of education is three times higher for ethnic Norwegians than for non-western immigrants. Using the method 'Over-Required-Unde...

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Veröffentlicht in:Education economics 2014-01, Vol.22 (1/2), p.48-72
Hauptverfasser: Hardoy, Inés, Schøne, Pål
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creator Hardoy, Inés
Schøne, Pål
description The main purpose of this paper is to analyse the return to pre-immigration education for non-western immigrants, and explain why it is so low. Returns to one extra year of education is three times higher for ethnic Norwegians than for non-western immigrants. Using the method 'Over-Required-Under' (ORU) education approach, we reveal that this is because non-western immigrants have lower returns to overeducation and required education, and they also have lower penalties associated with undereducation. These factors together explain more than 60% all of the difference in returns to education between native born and non-western immigrants. Based on different results in this paper, we argue that both quality of education from the country of birth and lack of transferable skills may be important components.
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source PAIS Index; Business Source Complete; Education Source
subjects Bildung
Births
Differences
Education
Education Work Relationship
Educational Attainment
Educational Quality
Equal Opportunities (Jobs)
Ethnic groups
Foreign Countries
Forschung
Immigrant students
Immigrants
Immigration
Migrant
Noncitizens
Norway
Outcomes of Education
Quality of education
Quality of life
Regression (Statistics)
Remigration
Reproductive health
research paper
returns
Salary Wage Differentials
Skills
Statistical Analysis
Student behavior
Work Experience
title Returns to pre-immigration education for non-western immigrants: Why so low?
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