Dynamic Effects of Co-Ethnic Networks on Immigrants’ Economic Success

Abstract

"In this paper we investigate how co-ethnic networks affect the economic success of immigrants. Using longitudinal data of immigrants in Germany and including a large set of fixed effects and pre-migration controls to address the possible endogeneity of initial location, we find that immigrants in districts with larger co-ethnic networks are more likely to be employed soon after arrival. This advantage fades after four years, as migrants located in places with smaller co-ethnic networks catch up due to greater human capital investments. These effects appear stronger for lower-skilled immigrants, as well as for refugees and ethnic Germans." (Author's abstract, IAB-Doku) ((en))

Cite article

Battisti, M., Peri, G. & Romiti, A. (2022): Dynamic Effects of Co-Ethnic Networks on Immigrants’ Economic Success. In: The Economic Journal, Vol. 132, No. 641, p. 58-88. DOI:10.1093/ej/ueab036