Parental ethnic identity and educational attainment of second-generation immigrants

A lack of cultural integration is often blamed for hindering immigrant families' economic progression. This paper explores whether there are in fact long-term consequences by investigating intergenerational effects of parental ethnic identity on the next generation's human capital accumulation. Results based on longitudinal data from the German Socio-Economic Panel (SOEP) indicate a positive role of both parental majority as well as minority identity. I find differential parental roles with impacts of majority identity working through mothers and minority identity effects being specific to fathers. While the positive effect of maternal majority identity appears to be closely related to language skills, the beneficial effect of paternal minority identity is consistent throughout various robustness checks and likely to be related to higher levels of children's feelings of self-esteem. Overall, the results point at integrated, rather than separated or assimilated family environments to be most conductive for educational success of the second generation.